A total of 82 companies out of the top 100 bank defaulters of 2019, including some of the biggest companies run by prominent industrialists, landed in the National Company Law Tribunal (NCLT) under Insolvency and Bankruptcy Code (IBC), 2016 and out of this, nearly one third of the companies went into liquidation over the years, suggesting banks would have hardly recouped any money, an investigation by The Indian Express reveals.
Since the IBC framework came into being in 2016, creditors i.e. banks had a way out. A status update of what happened to these top 100 defaulters shows that of the total 82 companies landed in NCLT, the corporate insolvency resolution process (CIRP) was initiated in 74 cases and as many as 28 companies went into…
