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Panel meets to finalise changes in insolvency and bankruptcy code

Tuesday, March 13, 2018, 1:58
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NEW DELHI: The high level committee set up to review the insolvency and bankruptcy code held a meeting on Monday to finalise the changes to be brought in the code. The final recommendations will be drafted within a week, a senior government official told ET. The committee it is learnt to have discussed issues regarding section 29A, related parties definition, moratorium on personal guarantors, issue of homebuyers among others.The issues that need ironing out include relief for the MSME sector; treatment of home buyers; some unintended exclusions under Section 29A; composition of CoC (committee of creditors); voting thresholds; post-approval regulatory clearances; cross-border insolvency among others.In the year since it was introduced, the government has been fine tuning resolution procedures under the insolvency and bankruptcy code.The government is keen to remove the ambiguities in the code for faster and effective resolution of NPAs which have gone into insolvency proceedings.

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