Our bankruptcy code deserves credit for what it has achieved – Mint

Notwithstanding the different legal frameworks for bankruptcy and insolvency in place in various countries, all of them have two leading objectives: to facilitate liquidation of financially unviable companies, and to protect the rights of and provide equal treatment to similarly-situated creditors and other stakeholders. The Indian insolvency framework in the form of the Insolvency and Bankruptcy Code (IBC), 2016, is unique as it has a business-rescue mechanism, thereby providing resolution options for financially viable companies as yet another objective. Indeed, resolution is the first-order objective of the Code, as held by the National Company Law Appellate Tribunal in the matter of Binani Industries Ltd vs. Bank of Baroda & Anr. H…

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