NEW DELHI: The insolvency ordinance provides a level playing field to all parties interested in participating in the resolution process and there are enough players to ensure that competitive bids are made for stressed assets, said government officials, as they defended the new measures that prevent errant promoters from trying to reacquire assets till they…
STUTTGART (Reuters) – The founder of Germany’s failed Schlecker drugstore chain got a suspended sentence and his two children got jail terms on Monday for taking money from the company before its collapse. Founder of collapsed German drugstore chain Schlecker gets suspended prison term Workers who lost their jobs when the firm shut its stores…
Indian lenders may oppose the move at NCLT as they are close to taking 51% in the firm Mumbai, November 27: More trouble is brewing for debt-ridden Reliance Communications (RCom), with China Development Bank (CDB) filing an insolvency case against the telecom company, a move that would be opposed by Indian lenders. CDB, a lender…
Few expect the Eastern Partnership (EaP) summit to give new a life to the largely stalled programme of the European Unions engagement in its Eastern neighbourhood. The EaP has been reduced largely a discussion of technicalities and bland, aspirational statements. It should be more than that. How the EU works, or does not work, with…
The National Company Law Tribunal has for the first time directed that a liquidator be appointed in place of an existing resolution professional in the case of a company which has no feasible resolution plan in sight, marking a new chapter in the evolving Insolvency and Bankruptcy Code. The tribunal has directed the winding up…
Few expect the Eastern Partnership (EaP) summit to give new a life to the largely stalled programme of the European Unions engagement in its Eastern neighbourhood. The EaP has been reduced largely a discussion of technicalities and bland, aspirational statements. It should be more than that. How the EU works, or does not work, with…
A court in the western German city of Stuttgart has sentenced the 73-old former drugstore tycoon to two years probation, finding him guilty on 36 counts of embezzlement, perjury and other misdeeds in the lead-up to the eponymous firm’s bankruptcy. The judge on Monday also imposed two-year prison terms on his children, Lars and Meike. The trial started in…
Investors knowingly misold worthless bonds may be able to claw back more of their cash from administrators, following an initial compensation payout. The Financial Service Compensation Scheme said the administrator of Catalyst Investment Group, which was declared insolvent in 2013 after being found to have sold illegitimately issued bonds, was preparing to make its first…
Mumbai: A senior member of the committee on bankruptcy law and one of its architects has voiced his criticism of the Ordinance that bars ousted promoters of an insolvent company from regaining control. The Ordinance is obsessed with large borrowers, can adversely affect the fortunes of struggling small and mid-sized companies looking for a second…
Lenders should not be compelled to reject resolution plans from promoters. Photo: Reuters The Insolvency and Bankruptcy Code is one of the biggest reforms of recent times and is expected to be the solution to the countrys highly stressed banking system. In fact, this view is also acknowledged by the World Bank in its Doing…