Bankruptcy cases: Govt may allow more time to restructure as lawsuits mount

India may allow more time for the restructuring plans of defaulting companies to be approved, according to people with knowledge of the matter, as a slew of lawsuits from owners, lenders and bidders slows the insolvency process and tests a new bankruptcy law.

The rules mandate that a bad-loan resolution plan must be agreed upon within 270 days, failing which they require liquidation of the company’s assets. A panel set up to recommend ways to ease implementation of the law is proposing that the timeline be eased on a case-by-case basis at the discretion of the National Company Law Tribunal, the