Rescues for large defaulters may strike an informal note
- Posted on September 17, 2024
- By Business News Today
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Rescues for large defaulters may strike an informal note
The Centre is set to introduce a creditor-led insolvency resolution mechanism to expedite recoveries and reduce the burden on bankruptcy courts. This new framework will allow out-of-court arrangements for big loan defaults, with a shorter resolution deadline of 150 days. The National Company Law Tribunal's role will be limited to approving the plan agreed upon by creditors and debtors.