Promoters of some companies where insolvency and bankruptcy proceedings have been triggered are taking on operating roles to remain close to the action when the insolvency professional takes over.
Take, for instance, Bhushan Steel Ltd, one of the 12 companies which the Reserve Bank of India has identified for triggering the Insolvency and Bankruptcy Code. On 5 July, Neeraj Singhal, its vice-chairman and managing director, took on a chief executive officers (CEOs) role. The same day, two other directors, Rahul Sen Gupta and P.K. Aggarwal, added executive vice-president roles to their profiles, the company said in a notice to stock exchanges.
Similarly, E…
Read the full article at: https://www.dealstreetasia.com/stories/promoters-look-stay-close-firms-begin-insolvency-process-77489/
