IBC not a panacea for all ills, needs holistic assessment: IBBI chief Sahoo

Says haircuts taken by lenders is not IBC's fault, creditors staring at a haircut of 78% were not only rescued under the Code but their haircut was reduced to 61%

Companies rescued under insolvency and bankruptcy code till June had assets valued at about 22 per cent of the amount due to the creditors, Insolvency and Bankruptcy Board of India (IBBI) chairman M S Sahoo said on Thursday. Stressing that haircuts taken by lenders is not the fault of IBC, he said creditors staring at a haircut of 78 per cent were not only rescued under the Code but their haircut was reduced to 61 per cent.  

“IBC is not a panacea for all ills and requires systematic and holistic assessment...If claims and realisations are adjusted to their real level,