Currently, at least 81 corporate insolvency resolution processes are going on under the IBC.Corporate Persons Regulations, 2017, also states that the adjudicating authority may, if satisfied, extend the period of 90 days by 45 days for the completion of the resolution process. But the Reserve Bank of Indias selection this week of 12 accounts totaling 25% of non-performing assets to be referred for resolution under the IBC dont meet these criteria, as they are large accounts. However, the National Company Law Tribunal (NCLT) may, on its own, decide to expedite those NPA cases.
Faster resolution will attract investors to start-ups, most of which dont survive long, as well as small companies. This was one of the reasons why …
Read the full article at: http://www.financialexpress.com/economy/for-start-ups-small-companies-insolvency-process-slashed-from-180-days-to-90-bankruptcy-board-notifies-provisions/722979/
