You are here: Home » Companies » News
Business Standard

35 corporate insolvency resolutions are in progress

We had freedom of entry, to compete and now we have freedom to exit, says IBBI chief

Bankruptcy Code

Press Trust of India  |  New Delhi 

bankruptcy, law, insolvency
Photo: Shutterstock

At least 35 corporate insolvency resolution processes are going on under the Insolvency and Bankruptcy Code, which is providing entities the “freedom to exit”, IBBI Chairperson M S Sahoo said.

The Code, which provides for market-determined and time-bound resolution process, is being implemented by the Insolvency and Bankruptcy Board of India (IBBI). “35 corporate insolvency resolution transactions are going on, which involve default of about Rs 4,000 crore in a case,” Sahoo said.

The Code, which came into effect from December 1, 2016, seeks to consolidate and amend laws relating to re- organisation as well as insolvency resolution of corporate persons, partnership firms and individuals in a time-bound manner.

Speaking at a conference organised by not-for-profit group H2Life Foundation, Sahoo said the complete regime of economic freedom is in place with the Code.

“We had freedom of entry, to compete and now we have freedom to exit,” he said, adding that the IBBI is ready for changes in the resolution as per the need of the hour.

H2Life Foundation President Vikas Sharma said the Code would not only streamline the insolvency process but also help in boosting business growth of the country.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Sat, April 15 2017. 19:32 IST