In the three months after the suspension on triggering insolvency was lifted on March 24, a total of 126 new corporate insolvency cases were admitted, according to the latest data released by the Insolvency and Bankruptcy Board of India (IBBI).
Till June, about 47 per cent of the corporate insolvency resolution processes (CIRPs), which were closed, yielded orders for liquidation. Against this, 14 per cent ended up with a resolution plan.
The IBBI, however, stressed that 75 per cent of the CIRPs ending in liquidation were earlier with the Board for Industrial and Financial Reconstruction (BIFR) or defunct. These companies on an average had assets valued at around 7 per cent of the outstanding debt amount.
The economic value in mos…
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