Insolvency Guardian Media Centre
Covid-19 may create stress on External Commercial Borrowings (ECB) and guarantees issued for overseas borrowings of Indian corporates. The consequences will not only be bitter for the corporates but also for the larger fraternity of creditors in India, in case a cross border insolvency framework is not implemented at the earliest.
In 1996, a prominent Indonesian business family, through their holding company, PT Bakrie Investindo (Defendant), gave a guarantee for Notes issued by its Dutch arm, Bakrie Indonesia BV. The Notes, governed by English Law, were maturing in 1999 and traded electronically. The guarantee was to whoever was the holder of notes and coupons at different points in time. The Defendant could not honour the Notes due to 1…
Read the full article at: https://economictimes.indiatimes.com/news/economy/policy/view-an-urgent-need-for-a-cross-border-insolvency-framework/articleshow/79529444.cms
Provided by The Independent
An Indian state has passed a law banning online gaming, citing what it said were several reported cases of youngsters taking their own lives after they were pushed into debt by playing e-games.
Explaining the need for the legislation, the Andhra Pradesh government said the expansion of access to new technology and the internet had opened up many opportunities for dangerous and illicit online activity.
Many internet websites which claim to provide gambling services are not authentic and there are no regulatory measures to check the legitimacy of these sites, said state home minister M Sucharitha.
That makes it really easy for these sites to defraud the customers and it also raises a lot of security and privac…
Read the full article at: https://www.msn.com/en-gb/news/world/indian-state-bans-online-gaming-over-suicides-and-gambling-debts/ar-BB1bygsF
Capital restructuring services have been one of the important financial solution-based services in the last few decades and have seen stable growth in recent years. Restructuring services are used to address issues associated with insolvency, mergers, de-mergers, bankruptcies, liquidations, and distressed sales. These services are mainly focused to optimize business costs, repositioning & regaining control from stake holders, introducing new technology, merging with another company, and complying to new regulations in business environment. These capital restructuring services improve financial position of companies to respond uncertainties occurred and helps businesses to strengthen their position in the corporate world.
Companies cover…
Read the full article at: https://www.mccourier.com/capital-restructuring-services-market-analysis-by-type-organization-size-industry-vertical-and-region-2020-2027/
Mumbai: Lenders to Dewan Housing Finance Corp Ltd have moved the Mumbai bench of National Company Law Tribunal (NCLT) to initiate personal insolvency proceedings against the erstwhile promoters Kapil and Dheeraj Wadhwan, according to a person aware of the matter.
DHFL owes 87,031 crore from financial creditors, including 39,000 crore from banks. “We will contact Catalyst Trusteeship Ltd (CTL) and see if they can join it or perhaps if they can ask banks to reduce their recovery in the resolution proportional to the recovery from Wadhawans if any,” said one of the bondholders who spoke on condition of anonymity.
Union Bank of India, the lead bank has filed the case on behalf of all lenders against the entire exposure of 38,000 crore. A…
Read the full article at: https://www.livemint.com/companies/news/dhfl-lenders-file-personal-insolvency-case-against-wadhawans-11606927568093.html
The loosening will remove the existing professional requirements for insolvency practitioners to have 4000 hours of supervised work experience in the past five years and a postgraduate qualification in insolvency law.
Australian Restructuring Insolvency and Turnaround Association chief executive John Winter said the proposed legislation was “broken” and it was “completely flawed” that accountants could undertake insolvency work.
“Any accountant in public practice who is going to do this is going to get their fingers burnt. They’ve got no training, the law is very complex and they are not insured to do this work.”
“There is a real risk you are going to get underqualified people not realising how big the task is and doing really bad jobs…
Read the full article at: https://www.afr.com/policy/economy/new-insolvency-law-could-influx-of-shonky-operators-20201201-p56jnl
Queensland companies are continuing to collapse by the dozen despite the state’s economy slowly recovering from the devastating COVID-19 shutdown.
In November 60 companies were put into liquidation or administration – far less than before the pandemic.
Previous modelling suggests thousands of Queensland small businesses continue to rely on the federal government’s JobKeeper program and a moratorium on insolvent trading.
Credit reporting agency CreditorWatch has urged the government not to extend the moratorium on insolvent trading beyond December 31.
CreditorWatch CEO Patrick Coghlan said the measures had served the economy well, but declared now was the time to rebuild.
“Extending this provision for all businesses will only kick the …
Read the full article at: https://www.qt.com.au/news/restaurants-aussie-icon-among-60-collapses/4150840/
In the last few months, due to the devastating effect the coronavirus pandemic has had on the global economy, the fiscal clock has been ticking more rapidly than ever before for many small and vulnerable states across the world.
With Joe Bidens victory in the United States presidential election, which increased the possibility for meaningful global cooperation on pressing issues disproportionately affecting vulnerable states like climate change, coupled with the development of several COVID-19 vaccines that could help bring the pandemic under control, these countries recently started to see a faint light at the end of the tunnel.
But the path to economic salvation is still full of obstacles, and the upcoming winter months are still expe…
Read the full article at: https://www.aljazeera.com/opinions/2020/12/2/in-the-time-of-pandemic-debt-relief-efforts-need-to-go-further/
Learning to recognise early signs of trouble, and partnering with an insolvency expert, can help public practitioners save their clients from going under.
At a glance
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By Zilla Efrat
If your clients are finding it hard to keep their heads above water during COVID-19, it could be time to call in an insolvency expert; and t…
Read the full article at: https://www.intheblack.com/articles/2020/12/01/insolvency-recognise-signs
The Supreme Court is likely to hear 19 petitions challenging the constitutional validity of provisions relating to insolvency of personal guarantors under the IBC on Thursday.
In the last hearing on October 29, the top court had transferred to itself all the petitions pending before various High Courts, challenging the said IBC provisions. The SC had said that no further writ petitions on the issue were to be entertained by any High Court.
Among the personal guarantees which have been invoked by the banks are Anil Ambani, chairman of ADA group for Rs 1,200 crore. Other promoters facing invocation of personal guarantee include Sanjay Singhal of Bhushan Power and Steel, Atul Punj, founder, Punj Llyod.
The ministry of corporate affa…
Read the full article at: https://www.business-standard.com/article/economy-policy/top-court-to-hear-matter-on-insolvency-of-personal-guarantors-tomorrow-120120201188_1.html
Celebrity chef Jock Zonfrillo has voted to settle the debts of his failed Adelaide restaurants by paying major creditors between five and 10 cents in the dollar, against the wishes of the Australian Tax Office.
Key points:
- Jock Zonfrillo’s restaurants in the East End of Adelaide’s CBD have closed
- Most creditors will receive between five and 10 cents in the dollar
- Zonfrillo and his wife voted in favour of the deed of company arrangement
Zonfrillo, a judge on popular TV show MasterChef, ran the acclaimed fine-dining restaurant Orana and attached eatery Blackwood Bistro on Rundle Street in Adelaide’s CBD.
He placed both businesses in voluntary administration in early October this year.
People and businesses owed money by the eateries met last F…
Read the full article at: https://www.abc.net.au/news/2020-12-02/jock-zonfrillo-failed-retaurants-settle-debts-with-ato/12943176
01 Dec 2020byMartyn Wingrove
Castor Marine has stepped in to save SeaVsat, which provides satellite internet access to offshore vessels and rigs, through an acquisition from administrators
Netherlands-headquartered SeaVsat was declared bankrupt on 23 November, leaving customers at sea in uncertainty about their connectivity and voice communications.
This comes as other satellite communications service providers, most notably Speedcast International, have struggled with debt and coronavirus pandemic-induced issues.
With the SeaVsat acquisition comes continuity of the internet and data services to vessel and rig owners. It also secures communication…
Read the full article at: https://www.rivieramm.com/news-content-hub/osv-satcoms-secured-by-acquisition-out-of-bankruptcy-62123
photo-release
DIY Debt Relief
DIY Debt Relief Process
Los Angeles, California, Dec. 02, 2020 (GLOBE NEWSWIRE) — Debt is an anxiety-inducing topic for most Americans. According to financial experts, about 80% of Americans have some form of consumer debt and are $38,000 in debt, excluding mortgage debt. Unfortunately, financial literacy isnt a topic thats extensively covered in schools. As a result, many Americans lack valuable knowledge on personal finance topics including how credit cards and loans actually work, or how to get out of debt quickly should they experience financial hardship. When times are tough, the concept of free money is very appealing and overrides reserv…
Read the full article at: https://www.globenewswire.com/news-release/2020/12/02/2137984/0/en/How-DIY-Debt-Relief-is-Simplifying-The-Road-to-Financial-Freedom.html