Even after the government relaxed the norms for the micro, small and medium enterprise (MSME) promoters to bid for their own firms under the Insolvency and Bankruptcy Code (IBC), only a few have been able to bid successfully for their companies. A number of companies, closed for three to nine…
This is the time of the year when many will be reviewing their financial arrangements and may be tempted to set up a self-managed super fund (SMSF). The popularity of SMSFs is starting to wane but the overall number of these accounts is still trending up as many superannuants find the ability to limit fees…
The Securities and Exchange Commission has settled charges against Crowe, two of its partners, and two additional partners at a now-defunct audit firm for significant audit failures connected to a payroll services firm that went bankrupt. According to the SEC, Crowes audit team identified pervasive fraud risks in its 2013 audit of Corporate Resource Services…
Lenders to insolvent SBQ Steels have preferred to take the liquidation route for the entity, expressing reservations over UK-based Liberty Houses capability to take the process ahead, sources close to the development said. The resolution professional (RP) has filed an application under Section-33 of the Code of Liquidation, before the Chennai Bench of…
This article will take you 3 minute(s) to read Its no mystery that many startups and small businesses eventually fail. If there is life, there is death; similarly, for every billion-dollar unicorn company, there is a humongous number of startups that have gone onto the other side. More often than not, startups go bankrupt…
The jury is still out on Section 74 of the Insolvency and Bankruptcy Code (IBC), which details provisions for punishment of company officials who breach the moratorium or terms of the resolution plan approved by the committee of creditors as well as the adjudicating authority. While some experts say that invoking the…
Challenges of a liquidator include wading through complicated land ownership patterns of the corporate debtor. Photo: Bloomberg When Santanu T. Ray, a resolution professional, learnt that Conros Steel Pvt. Ltd will have to be liquidated, the first thing he did was to approach the committee of creditors (CoC) and requested all lenders to relinquish control…
In 2018, over Rs 80,000 crore was recovered from various corporate debtors. Photo:istock New Delhi: Tasked with a key job of helping recover unpaid corporate loans, the NCLT has helped resolve insolvency and bankruptcy proceedings involving more than Rs 80,000 crore in the year passing-by and the kitty is expected to swell beyond Rs 1…
The National Company Law Appellate Tribunal (NCLAT) has ruled that a personal guarantors right to subrogation against a corporate debtor can be taken away in a resolution plan under the Insolvency and Bankruptcy Code (IBC). Simply put, a personal guarantor has no right to step into the shoes of a creditor against the corporate debtor…
Ghana Association of Restructuring and Insolvency Advisors (GARIA), an Association of Professionals established to play a leadership role in corporate restructuring, has urged the government to expedite the process in passing the corporate insolvency bill into law. The Bill will ensure a significant impact in the business environment, provide a framework for restructuring viable businesses,…