Insolvency Guardian Media Centre
WONGA is on the brink of collapse after being inundated with compensations claims.
Here’s what we know about the situation the payday loan giant’s current predicament.
PA:Press Association
Will Wonga collapse?
The company was kept afloat three weeks ago thanks to a £10million emergency cash injection from shareholders.
But sources say it merely encouraged a new wave of compensation claims for alleged unfair debt collection practices.
Wonga has been accused of targeting vulnerable customers and charging sky-high interest.
Administrators are understood to be on stand-by to take over the loans giant if it is declared insolvent.
Insiders say news of the lifeline only spurred fresh legal…
Read the full article at: https://www.thesun.co.uk/news/7114820/wonga-collapse-founded-compensation-payday-loans/
Shardul S. Shroff Ambarish
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India did not have an effective legislation for revival of an insolvent company until the Insolvency and Bankruptcy Code, 2016 (Code).
The Code presents an exciting new opportunity for acquisition of stressed companies in India. The acquisition process is similar to a bidding process and the bid (referred in the Code as the resolution plan) is finally approved by a special tribunal called the National Company Law Tribunal (NCLT). A judicial approval (by the NCLT) ensures that the acquirer is able to effic…
Read the full article at: https://www.legalbusinessonline.com/news/insolvency-new-way-acquire-indian-company-–-not-everyone-welcome-brought-you-shardul-amarchand
NEW DELHI: Congress on Monday alleged that government-run Gujarat State Petroleum Corporation (GSPC) owed over Rs 12,000 crore in loans to various banks, and accused the Narendra Modi-led BJP government of trying to prevent the company from being declared bankrupt.
Congress MP and spokesperson Jairam Ramesh alleged that a Rs 20,000 crore scam had been unearthed in GSPC 13 years after Modi, then the Gujarat CM had announced the discovery of a natural gas block in the Krishna-Godavari basin in 2005.
Ramesh cited two CAG reports which noted that GSPC took loans of Rs 20,000 core from 15 banks and gave contracts for drilling to four-five companies. Money was spent but gas was not found and today GSPC is in a financial condition where it…
Read the full article at: https://timesofindia.indiatimes.com/india/congress-alleges-pm-modi-not-allowing-gspc-to-be-declared-bankrupt/articleshow/65573792.cms
Wyndham recorded the highest number of debtors entering personal insolvency within the greater Melbourne area in the June quarter this year.
There were 93 personal insolvencies recorded in Wyndham between April and June, according to the Australian Financial Security Authority. That compares with 80 personal insolvencies between January and March.
Elsewhere in the west, Melton recorded 50 personal insolvencies in the June quarter (56 previously), Brimbank 40 (48 previously), Hobsons Bay 22 (20 previously) and Maribyrnong 14 (20).
A partner in insolvency firm Jirsch Sutherland, Malcolm Howell, said increased levels of personal insolvency were due to a varie…
Read the full article at: http://www.starweekly.com.au/news/debt-distress-for-wyndham/
MUMBAI/NEW DELHI: Private power companies defaulting on an estimated Rs 1.7 lakh crore loans to 34 projects ran out of time to avoid insolvency proceedings on Monday, with the Allahabad high court refusing to grant interim relief.
The court’s decision leaves no other option for lenders but to initiate insolvency proceedings according to the Reserve Bank of India’s directive to banks to initiate insolvency proceedings against defaulters if a resolution plan was not finalised within six months.
According to SBI chairman Rajnish Kumar, neither the court decision nor the expiry of the RBI deadline will have any impact on the bank’s bottomline. “Unlike the NCLT-1 and NCLT-2 list of companies, which was given by the RBI, there is no ad…
Read the full article at: https://timesofindia.indiatimes.com/business/india-business/power-companies-with-rs-1-7-crore-stressed-loans-face-insolvency-proceedings/articleshow/65568368.cms
HYDERABAD: The National Company Law Tribunal (NCLT) on Monday ordered the liquidation of Lanco Infratech, after the infrastructure firms committee of creditors rejected a revised resolution plan from Thriveni Earthmovers.
The Hyderabad bench of NCLT headed by judicial member Ratakonda Murali appointed the companys resolution professional, Savan Godiavala, as liquidator.
Lanco Infratech has consolidated debt of more than Rupee45,000 crore from 29 lenders. It was one of the initial 12 stressed assets that was identified by the Reserve Bank of India for resolution under the Insolvency and Bankruptcy Code.
On July 13, the NCLT had extended the deadline to find a resolution by 16 days to facilitate the committee of creditors to consider Th…
Read the full article at: https://economictimes.indiatimes.com/markets/stocks/news/nclt-orders-liquidation-of-lanco-infratech/articleshow/65571215.cms
Australian tax authorities are chasing food delivery company Foodora for unpaid tax and superannuation before it exits the country.
The Australian Taxation Office and Revenue NSW started investigating Foodora’s tax obligations before the food delivery company went into voluntary administration earlier this month, having classified its food delivery riders as employees instead of independent contractors.
In advice to creditors, voluntary administrator Worrells Solvency and Forensic Accountants, said Revenue NSW notified Foodora in March that it was under investigation and that it had now determined the delivery riders attracted payroll tax. This was because it deemed them to be employees under the common law and not independent contractors…
Read the full article at: https://www.smh.com.au/business/workplace/foodora-faces-claims-for-unpaid-tax-and-superannuation-20180828-p5007n.html
NEW DELHI: The Allahabad High Court declined to give private power companies any interim relief on the Reserve Bank of India (RBI) circular that tightened bad loan norms on Monday, the deadline for finalising resolution plans for the stressed assets.
The court suggested the government could use a special dispensation that has never been used before to give directions to the central bank. The high court has mandated insolvency proceedings by lenders against defaulting power projects. Executives said that insolvency proceedings, which kick in as RBIs 180-day deadline has passed, may lead to steep haircuts for lenders because of the low valuations of stressed projects.
Bankers said they have 15 days to start insolvency proceedings against…
Read the full article at: https://economictimes.indiatimes.com/industry/energy/power/allahabad-high-court-refuses-to-give-interim-relief-to-power-firms/articleshow/65562193.cms
(CTech) China’s chip designer and manufacturer Sanan Optoelectronics Co. Ltd. is in talks to acquire Israel-headquartered communication chips company ColorChip Ltd., according to people familiar with the matter. The deal discussed values the latter at around $300 million, the people familiar with the matter said.
Based in Xiamen City in China’s Fujian province, Shanghai-listed Sanan Optoelectronics designs and produces LED components as well as radio chips.
The planned-acquisition will be either participated by or conducted through a Sanan Group affiliated private equity fund called An Xin Capital LLP, the people familiar with the matter said.
Both Sanan Optoelectornics and An Xin Capital have been approached for comment bu…
Read the full article at: https://www.caixinglobal.com/2018-08-28/chinas-sanan-optoelectronics-in-talks-to-buy-israeli-communication-chips-company-colorchip-101319486.html
The Hyderabad Bench of the National Company Law Tribunal (NCLT) on Monday ordered the liquidation of Lanco Infratech Limited (LITL), the holding company of the Lanco group, having a consolidated debt of Rs 500 billion.
The Bench has appointed resolution professional (RP) Savan Godiawala as the liquidator and directed him to initiate the liquidation process as prescribed under Chapter-3 of the Insolvency and Bankruptcy Code (IBC), 2016, by following the liquidation process stated in IBBI (liquidation process) Regulation, 2013.
“The liquidator appointed herein is directed to issue public announcement stating that the corporate debtor is in liquidation and also required to se…
Read the full article at: https://www.business-standard.com/article/companies/nclt-orders-liquidation-of-lanco-infratech-appoints-savan-godiawala-as-rp-118082701189_1.html
The Hyderabad bench of National Company Law Tribunal today ordered the liquidation of Lanco Infratech after the committee of creditors rejected the revised resolution plan submitted by Thriveni Earthmovers, a Tamil Nadu-based infra and mining firm.
The bench headed by judicial member Ratakonda Murali in his orders appointed the interim resolution professional (IRP) Savan Godiavala as the liquidator of the company.
The Reserve Bank had last June directed IDBI Bank, lead lender of Lanco Infratech, to initiate insolvency proceedings for the company under the Insolvency and Bankruptcy Code (IBC).
The company, among 12 firms identified by the RBI with high debt for proceedings under IBC, owes over Rs 44,000 crore to the IDBI…
Read the full article at: https://www.moneycontrol.com/news/business/nclt-orders-liquidation-of-lanco-infratech-2887371.html
Citing an RBI notification, Congress leader Jairam Ramesh on Monday demanded that the SBI should declare Gujarat State Petroleum Corp (GSPC) bankrupt and said the company owed Rs 12,000 crore to several banks.
He accused the Modi government of trying to protect the company from being declared bankrupt.
Ramesh said that on February 12, the Reserve Bank of India issued a circular stating that any company that owed more than Rs 2,000 crore to banks should be declared bankrupt within 180 days.
“GSPC’s highest debt is from SBI, which is Rs 1,200 crore. According to RBI’s notification, SBI should declare GSPC bankrupt,” said Ramesh.
“Last month GSPC submitted a 15-page document, entitle…
Read the full article at: https://www.business-standard.com/article/news-ians/modi-government-protecting-gspc-from-being-declared-bankrupt-jairam-118082701094_1.html