Dr M.S. Sahoo, chairperson of Insolvency and Bankruptcy Board of India. Photo: Indranil Bhoumik/Mint
New Delhi: Insolvency resolution process seeks to ensure that a company exists and the intention is not to sell it in pieces, Insolvency and Bankruptcy Board of India (IBBI) chairperson M.S. Sahoo said on Wednesday as he asserted that liquidation is anti-thesis of resolution.
The Insolvency and Bankruptcy Codeimplemented by the IBBIprovides for market-determined resolution in a time-bound manner. Against the backdrop of many companies going for liquidation, Sahoo said that when a new legislation comes, there are legacy issues and backlog of problems.
In the initial days of IBC it is not surprising for many companies going into liquidation,…
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