Page 26 - Insolvency And Bankruptcy Code

Resolution primary objective of IBC; but recovery important too: SBI MD

Financial and operational creditors owe money to companies facing insolvency proceedings and so recovery has to be an important factor while achieving resolution of stressed assets, he noted

Comparing realisations with outstanding loans not reasonable, says RBI DG

Admitting that there have been concerns, Rao said one needs to understand that the value of the asset may have already deteriorated by the time it comes up at the courts

Govt seeks inputs on tackling cross-border insolvency: Union Minister Rao

Union Budget in February talked about updating the Insolvency and Bankruptcy Code to enable cross-border dispute resolution.

Jeff Bezos vs Kishore Biyani 2.0: RIL may pick up FRL through insolvency

The tactic is not new for Reliance. In 2020, Reliance Industries acquired 37.7% stake in textile manufacturer Alok Industries Ltd for Rs 250 cr.

Top headlines: LIC valuation, Ola to recall units, and more

Read out the top news headlines and other important topics for the day and related information in the section below.

'Uncertainty over Reliance Industries deal drove FRL lenders to IBC'

Protracted litigation, safeguarding bankers' interest also led to the action

HDFC moved NCLT against SITI Networks claiming default of Rs 296 cr

SITI Networks has received a notice issued by the Mumbai bench of the National Company Law Tribunal over the petition filed by HDFCL, the Essel group firm said in a regulatory filing on Thursday

Debt recovery via insolvency cases at 31%; 47% cases liquidated: Report

Nearly half of the 3,247 insolvency cases have been resolved through liquidation, and only a paltry 457 or 14 per cent of them through asset sale as per their lenders-approved resolution plans, a report said on Friday. Even the various resolution processes have witnessed the recovery of debt of just 31 per cent on an average, said the data from the Insolvency & Bankruptcy Board of India. The data which covers all the cases since the implementation of the Insolvency and Bankruptcy Code (IBC) five years ago till December 2021 reflects very slow pace of the process, according to an analysis by Icra Ratings. Liquidation means lenders or financial firms face the maximum brunt of losses on their books. Of the Rs 7.52 lakh crore claims made by the creditors on their borrowers, the lenders could realise only Rs 2.5 lakh crore, reflecting the pains of liquidation that lenders were forced to suffer, Icra Ratings said in its analysis. While various NCLTs (National Company Law Tribunals) have

UK-based investor Nithia Capital eyes more acquisitions in steel space

Firm has been active in Indian steel space the past few years. Earlier in the month, it completed acquisition of Crest - under IBC - for a consideration exceeding Rs 600 crore

IBBI reduces timelines for activities under voluntary liquidation process

According to an official release, it has been noticed that there has been a substantial delay in the completion of voluntary liquidation process

Srei founder Hemant Kanoria urges RBI governor not to accept KPMG report

Sources say he has pointed out that any action based on "improper" report may hamper ongoing resolution process being undertaken by RBI's administrator under IBC

IBBI amends voluntary liquidation process regulations to streamline it

The Insolvency and Bankruptcy Board of India (IBBI) has amended regulations pertaining to voluntary liquidation process as part of efforts to streamline the process. Anoop Rawat, Partner (insolvency & bankruptcy) at Shardul Amarchand Mangaldas & Co, said the amendment seeks to streamline the voluntary liquidation process by reducing the timelines and imposing greater responsibilities on liquidator. "The requirement of new form H relieves some burden off the adjudicating authorities, with relevant data and satisfaction of compliance checks being available to it in a structured tabular format. "This shall aid in further enhancing the freedom of exit for the investors in line with India's ambitious goals of providing ease of doing business to investors during all the phases of the life-cycle of businesses," Rawat said. IBBI, a key institution in implementing the Insolvency and Bankruptcy Code (IBC), has notified the changes in the voluntary liquidation process regulations.

Lenders mull 90-day extension to close Reliance Capital resolution process

Lenders on Wednesday discussed a proposal for 90 days of extension to close the resolution process of debt-ridden Reliance Capital Ltd (RCL) promoted by the Anil Ambani Group, sources said

Naredco seeks help from UP CM on land dues to save builders from bankruptcy

This situation has arisen because of non-resolution of grievances of developers in time by the government and the authorities

The wait gets longer for lenders, homebuyers in Jaypee Infratech resolution

March 31 deadline for Rs 22,600 cr debt resolution missed as litigation delays process; matter has been dragging on for five years instead of six-month deadline under IBC

NCLT orders insolvency proceedings against Santasha Real Estate

The order came on a plea filed by Vani Advertising, an operational creditor to the company that has claimed a default of Rs 40.77 lakh

Reliance Industries, ACRE bid for Sintex filed before NCLT for approval

The joint bid of Reliance Industries and Assets Care & Reconstruction Enterprise (ACRE) for debt-ridden Sintex Industries has been moved before the NCLT for its approval after getting unanimously selected by the lenders of the textiles maker. The resolution professional of Sintex Industries has filed the resolution plan by RIL and ACRE, as approved by the Committee of Creditors (CoC) before the Ahmedabad Bench of the National Company Law Tribunal (NCLT), said a regulatory filing. "... we would like to inform that the Interim Resolution Professional of the Company has duly filed the resolution plan as approved by the CoC with the NCLT, Ahmedabad Bench on 23rd March, 2022, in accordance with Section 30(6) of the Insolvency and Bankruptcy Code, 2016," it said. As per the IBC procedures, RP has to submit the resolution plan as approved by the CoC to NCLT under Section 30(6) of IBC, which gives its final approval. Earlier this week, Sintex Industries, which is going through the ...

Vedanta, Jindal Power among 17 to show interest in SREI resolution

Resolution plan by April 30, but deadline can be stretched on request

Insolvency proceedings' deadline problem

The Bankruptcy Law Reforms Committee had spent considerable time on the timelines to be prescribed for various steps under the insolvency/bankruptcy proceedings

HDIL insolvency: Financial creditors to meet on March 9-10 to discuss bids

Financial creditors of HDIL will meet on March 9-10 to discuss bids for acquiring the crisis-hit realty firm through insolvency proceedings. In a regulatory filing on Saturday, HDIL's Resolution Professional Abhay N Manudhane informed that the "Twenty-Third meeting of Committee of Creditors will be held on 9th March 2022 and shall continue on 10th March 2022." The filing did not mention about the agenda of the meeting. Last month, HDIL had informed that its resolution professional has received 16 bids from nine applicants to acquire the company. "The Resolution Professional of the company has received sixteen resolution plans from nine Prospective Resolution Applicants (PRAs), HDIL had said. Housing Development and Infrastructure Ltd (HDIL) is under Corporate Insolvency Resolution Process (CIRP) pursuant to the provisions of the Insolvency and Bankruptcy Code, 2016. Its affairs, business and assets are being managed by the Resolution Professional Abhay N Manudhane, who was appoin