IBC Recovery Rate at 32 Per Cent By Dec Quarter
10 months ago

IBC Recovery Rate at 32 Per Cent By Dec Quarter

Deccan Chronicle  

CHENNAI: The overall recovery rate under Insolvency and Bankruptcy Code till the December quarter was 31.86 per cent implying a haircut of approximately 68 per cent. The overall recovery rate till Q3FY24 was 31.86 per cent implying a haircut of approximately 68 per cent. The cumulative recovery rate has been on a downtrend, decreasing from 43 per cent in Q1FY20 and 32.9 per cent in Q4FY22 as larger resolutions have already been executed and a significant number of liquidated cases were either Board for Industrial and Financial Reconstruction cases and defunct with high-resolution time. After slowing in the pandemic period of FY21 and FY22, the number of insolvency cases referred has increased by around 19 per cent in Q2FY24.

Cases Cent Dec Quarter  rate  ibc  days  insolvency  segment  cent  dec  quarter  cases  process  number  compared  32  recovery

History of this topic

Number of resolutions under IBC to go up every year: IBBI chairman
5 months, 1 week ago

Number of resolutions under IBC to go up every year: IBBI chairman

New Indian Express  

NEW DELHI: Amid criticism over delayed resolution of cases under the Insolvency and Bankruptcy Code, the chairman of insolvency regulator pointed out on Friday that 270 cases defaults were resolved in 2023-24 against the average 125 in the previous years. Ravi Mital, the chairman of Insolvency and Bankruptcy Board of India, said that the number of resolution per year would …

IBC resolves 891 cases involving Rs 10 lakh crore loan defaults till Dec '23
10 months ago

IBC resolves 891 cases involving Rs 10 lakh crore loan defaults till Dec '23

New Indian Express  

NEW DELHI: The Insolvency and Bankruptcy Code has resolved 891 cases of defaults involving banks loans worth R10 lakh crore till December 2023. According to IBBI’s quarterly report, 27,500 applications for initiation of corporate insolvency resolution process against companies involving defaults of R9.74 lakh crore were withdrawn before admission. As many as 79 corporate insolvency cases were resolved in the …

Banks bear brunt of IBC’s quick resolutions
1 year, 11 months ago

Banks bear brunt of IBC’s quick resolutions

New Indian Express  

The Insolvency and Bankruptcy Code was expected to vastly improve recovery for banks and reduce the time taken to resolve default cases. Recently, the Reserve Bank of India in its Financial Stability Report said that recovery through resolutions should not be compared with claims submitted by banks. Before IBC came into force, average recoveries were 26% and the time taken …

Our bankruptcy code deserves credit for what it has achieved
3 years, 4 months ago

Our bankruptcy code deserves credit for what it has achieved

Live Mint  

Notwithstanding the different legal frameworks for bankruptcy and insolvency in place in various countries, all of them have two leading objectives: to facilitate liquidation of financially unviable companies, and to protect the rights of and provide equal treatment to similarly-situated creditors and other stakeholders. The Indian insolvency framework in the form of the Insolvency and Bankruptcy Code, 2016, is unique …

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