Insolvency Guardian Media Centre
Three-quarters of the staff and nearly all the senior managers at Royal Bank of Scotlands new division, which supports struggling businesses, previously worked at its controversial Global Restructuring Group, which has been accused of pushing firms into bankruptcy.
The Treasury select committee, which last week published a full report into the GRG scandal, said 136 of 182 employees at the current restructuring business and 30 out of 32 senior managers came from GRG.
At a select committee hearing in January, the RBS chief executive, Ross McEwan, said he believed only two senior managers had come from GRG, including the head of restructuring, Laura Barlow. RBS now says this comment referred to only the most senior management grade.
Read the full article at: https://www.theguardian.com/business/2018/feb/27/mps-concerned-by-rebranding-of-rbs-restructuring-division
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Credit card companies will have until September to implement rules designed to help people with longstanding debts, the regulator has said.
Providers have made large profits from their 3.3 million UK customers in persistent debt.
These cardholders pay an average of £2.50 in interest and charges for every £1 of debt they repay.
The Financial Conduct Authority (FCA) has ordered companies to intervene after 18 months of persistent debt.
A series of measures begins with prompts to encourage people to pay back the debt faster, and leads on to more in-depth guidance after three years, and the possibility of inte…
Read the full article at: http://www.bbc.com/news/business-43210246
Debt-laden Monnet Ispat and Energy Ltds creditors have approved an offer made by a consortium of distressed asset fund AION Capital Partners and billionaire Sajjan Jindal-led JSW Steel, The Economic Times reported, citing a person aware of the development.
The offer includes a payment of Rs 2,450 crore to the lenders and equity funding of Rs 1,050 crore, the report said. Monnet has a debt of Rs 10,237 crore, according to the report.
Monnet Ispat is undergoing an insolvency resolution process initiated by the National Company Law Tribunal. It is one of the12 large loan defaulters identified by the Reserve Bank of India in its first list for debt resolution under the Insolvency and Bankruptcy Code.
AION Capital is a joint private…
Read the full article at: https://www.vccircle.com/aion-jsw-bid-for-monnet-ispat-gets-creditors-nod-hinduja-group-eyes-maubank/
The new £250m Ulster University campus in Belfast has been mothballed and workers sent home over a litany of legal problems, the Belfast Telegraph can reveal.
Work on the campus came to a …
Read the full article at: https://www.belfasttelegraph.co.uk/business/northern-ireland/work-is-halted-at-ulster-universitys-building-site-as-insolvency-experts-go-in-36646249.html
The Uganda Police Force has asked government through the Minister of Internal Affairs, General Jeje Odong, to rescue it from a heavy debt of Shillings 125.9 billion which is increasing every day.
The police debt accruing from electricity, water, food supply and fuel has been increasing steadily since 2010. In 2013 the police debt burden was at 38.4 billion Shillings but as of January 2018, the debt had increased to 125.9 billion Shillings.
Recently, the Ministry of Finance passed guidelines requiring all departments and ministries to use their allocation to clear debts as a first priority.
At least Shs10 billion is allocated to clearing up part of the debt every quarter. However, before the end of that quarter, more than …
Read the full article at: http://www.monitor.co.ug/News/National/Police-choking-Shs125-billion-debt-calls-govt-help/688334-4321076-2ivusb/index.html
Bankruptcy law is meant to support confidence and to smooth up possible new investments needed to support the long list of giga-projects and expected IPOs, Cyril Widdershoven, an economics and energy partner at Verocy, a consultancy firm advising on investment risks in the Middle East, told Zawya by email.
Saudi Arabia has embarked on an ambitious economic overhaul plan that aims to diversify the states sources of revenues and launched major projects, including the $500 billion NEOM business zone that is planned to be more than 33 times the size of New York City. (Read more here).
There was a need for a new, up-to-date bankruptcy law as international investors have been worried about the problems related to recuperating funds and…
Read the full article at: https://www.zawya.com/mena/en/story/Saudis_new_bankruptcy_law_paves_way_for_investments_in_markets_and_megaprojects-ZAWYA20180227034908/
Calcutta: Numetal’s partners may buy out Rewant Ruia’s stake in the consortium pitching for Essar Steel if the latter is found to be ineligible to bid for stressed assets under the provisions of the Insolvency and Bankruptcy Code (IBC).
Rewant, the younger son of Essar Group founder and promoter Ravi Ruia, holds a 25 per cent stake in Numetal through a Mauritius-based investment trust Aurora Enterprises, while VTB, TPE and Indo International hold the rest.
The Ruias are also said to be open to the idea of opting out of the consortium if the situation demands.
Numetal, where Russia’s second largest bank VTB holds a majority stake (40 per cent), has informed the resolution professional that if any of…
Read the full article at: https://www.telegraphindia.com/business/numetal-ups-essar-pitch-211623
Toys R Us is expected to enter administration tomorrow unless an eleventh-hour deal to rescue the ailing company is struck.
Frantic attempts to secure a buyer before Tuesdays deadline for payment of a £15m VAT tax bill have so far failed, with a potential investor pulling out at the last minute, the Retail Gazette reports.
The crisis in the chains UK arm – which employs around 3,200 people – comes less than six months after its American parent company filed for bankruptcy protection in the US and Canada, and announced plans to dramatically scale back its operations.
Toys R Us UK narrowly avoided administration in December after a deal was agreed with the Pensions Protection Fund that involved cutting 800 jobs and closing at lea…
Read the full article at: http://www.theweek.co.uk/91915/toys-r-us-faces-complete-collapse-as-deadline-looms
A sudden medical emergency doesnt just wreak chaos on a persons life. For many people, it takes a dangerous toll on their financial security. One in five U.S. residents have delinquent medical debt on their credit reports, according to the Consumer Financial Protection Bureau.
In the Philadelphia region, more than 1.1 million people owe a total of $631 million in delinquent medical debt, data from credit agencies and the federal government shows. And that’s just the amount reported to credit agencies. The total amount could be much higher.
Unpaid medical debt can lead a family to bankruptcy as debt collectors attempt to squeeze out all the assets they can to settle the bill. Often debt collectors buy the right to demand your money at a st…
Read the full article at: https://www.nbcphiladelphia.com/news/local/NBC10-Responds-Erasing-Medical-Debt-474891783.html
Just as a bunch of high-value assets are about to exit India’s fledgling bankruptcy process, it appears founders won’t relinquish control of their steel, power and cement plants without exhausting every last legal trick in the book.
A knot of clumsily crafted eligibility rules introduced by the government in November have become a thorn in the side of bidders like ArcelorMittal.
The idea behind restricting the playing field was to ensure that stressed assets don’t end up with the same business families who choked the state-dominated banking system with $207 billion in bad loans. The net effect may be just the opposite.
The Big Fizzle
A $32 billion recap of India…
Read the full article at: https://www.bloomberg.com/gadfly/articles/2018-02-26/lawyers-win-biggest-in-india-s-game-of-bankruptcy-tag
On the outside, Richard Brent was a thief and a user.
He stole and used meth and heroin, acted tough and aggressive, all of which got him a 90-day sentence to Los Angeles Countys Mens Central Jail.
But for Dr. Lauren Wolchok, his physician on the inside, Brent is neither criminal nor inmate.
For her, he is a person in need of medical care like anyone else. Whether to help him monitor the pills he takes to manage HIV, link him to drug treatment or offer a sympathetic ear as he recounts a childhood that included maternal neglect, Wolchok said Brent is her patient, whether she had met him on the inside or outside.
I love this work. I just love it all, Wolchok said of her duties inside the massive jail in downtown L.A.s Chinatown, where…
Read the full article at: http://www.dailynews.com/2018/02/26/la-county-offers-to-pay-off-student-debt-for-new-doctors-if-they-work-in-its-jails/
MUMBAI: A dedicated bankruptcy court finalising the insolvency of Bhushan Power and Steel has asked the resolution professional (RP) to submit his stand by March 2 on opening the Liberty House bid that came in after the deadline for the debt-laden company had ended.
UK-based Liberty House is also keen to buy Bhushan Power and Steel, for which the Tatas have emerged the highest bidder at Rs 24,000 crore. The counsel for Tata Steel was also present at the hearing Monday at the National Company Law Tribunal (NCLT) and pushed for the rival bid to be not opened and considered. Tata Steel was represented by Abhishek Singhvi.
The next hearing is scheduled March 5. “The matter is in the courts. The tribunal has heard us, and the RP…
Read the full article at: https://economictimes.indiatimes.com/industry/indl-goods/svs/steel/bhushan-insolvency-process-nclt-asks-rp-to-submit-stand-on-liberty-bid-by-march-2/articleshow/63086121.cms