IBBI chief Ravi Mital on Thursday said companies in India have not learnt how to use the insolvency law and pitched for efforts to ensure that more companies opt for the voluntary resolution process to increase productivity. The Insolvency and Bankruptcy Code (IBC), which provides for a market-linked and time-bound resolution of stressed assets, came into force in 2016.
Budget with ET
Fraught juggling act draws near for Nirmala Sitharaman. What will Feb 1 bring?
Budget 2025 needs to pull off a big growth trick for the untapped half of its firepower
2 key events coming up for India as world readjusts to Trump 2.0
So far, most of the insolvency resolution processes have been initiated by creditors while in comparison voluntary applications have been less.
Speaking at a conference organised by industry body Assocham and accounting body CPA Australia in the national capital, Mital said creditors have recovered around Rs 3.6 lakh crore has been recovered by creditors under the IBC in the last eight years.
The Insolvency and Bankruptcy Board of India (IBBI) is a key institution in implementing the IBC.
Emphasising that creditor-debtor relationship has changed with the implementation of the Code, Mital said cases involving debts worth Rs 11 lakh crore have been settled even before getting admitted for the insolvency resolution process.
Artificial Intelligence(AI)
Java Programming with ChatGPT: Learn using Generative AI
By — Metla Sudha Sekhar, IT Specialist and Developer
Artificial Intelligence(AI)
Basics of Generative