New corporate bankruptcy cases have dropped since the moratorium

-


Three high-profile bankruptcy cases were settled in the June quarter

MUMBAI: The number of new corporate insolvency cases has dropped since the moratorium was removed during the first quarter of the current financial year, with an average of 10 new bankruptcy cases being filed every week. It may be mentioned that, in June 2020, the Central Government had banned the filing of new bankruptcy proceedings in case of any payment default for a period of 12 months from March 3, 2020.

According to the latest figures from the Insolvency and Bankruptcy Board of India (IBBI), 18 new bankruptcy cases were filed between April and June 2021.

The pace of bankruptcy and insolvency proceedings is very slow as many new cases were filed during the previous week. Prior to the Corona epidemic, between March 2016 and March 2020, about six bankruptcy cases were filed each week.

The June quarter this year not only saw a decline in filing of new bankruptcy cases but also saw some encouraging resolution figures, thanks to some large amount of cases that were long pending and resolved during this three-month window. Among them are Diwan Housing Finance Company Limited (DHFL), Videocon Group and Jet Airways - the three biggest high profile bankruptcy cases resolved this quarter. In DHFL's bankruptcy case, more than 50 per cent of the creditors' claims were eligible for recovery.

Recent IBBI figures show that out of the eight cases resolved in the June quarter, claims by creditors of DHFL, Videocon and Jet accounted for about 4 per cent of the total recovery claims. In the case of Videocon, the recovery amount is less than 5 per cent, while in the case of Jet, the creditors have received a little more than 15 per cent. Since the introduction of the Insolvency and Bankruptcy Code (IBC) in 2013, the percentage of recoverable claims has been around 5 per cent.

Comments

Post a Comment

Popular posts from this blog

Due to the ban, employment and economic activity declined by two to three percent

-
Image
New delhi date. October 7, 2019, Monday A new study has found that employment and economic activity have declined by two to three percent due to the ban. A similar situation has been observed in bank lending. The study found the decline to occur within two months of the notation announced on November 7. This is the first research on demineralization in which data on the effects of districts across India were collected. In addition to the districts, the effect of national level was also studied. Previous studies only examined the national level effect of demonitization. Thus, a full estimate of the overall effect is not known. As a result of the shortage of cash arising out of the blockade, the country's economic activity fell by approximately 8 percent in November-December 2 In the October-December period, bank credit has seen an impact of around two per cent. Cash pulls have impacted demand for a short period. The study found that there was a strong link between money and pro
Read more

Information about soymilk and casein products

-
Image
- Industrial guidance - Dhiru Parekh Soymilk: Soybeans are converted to high-quality protein. So that high quality drinks can be made which can be easily digested. There is no difference between soymilk and cow's milk. So the conservative industries of milk processing are now using this milk to make yogurt and ice cream. Consumers also cannot tell the difference between ice cream made from cow's milk and from soy milk. Also, the production capacity of soy milk can be increased than that of cow's milk. And the price can be cheaper. Soybeans mainly contain two types of enzymes that are inactivated in the soymilk process. Leukoxidase that catalyzes the oxidation of fatty acids. And enzymes like pepsin, trypepsin are included in it. Which helps in digesting protein. Soyamilk powder manufacturing process: This is an electric pre-heater system. which basically allows fluid to flow easily in a stationless tube under low-voltages. which absorbs the energy flowing through the Ja
Read more

The brokerage firm objected to SEBI's new proposal regarding Algo Trading

-
Image
MUMBAI: Brokerage firms and fintech companies have objected to market regulator SEBI's discussion paper considering all stock trading orders issued through Application Programming Interface (API) as separate trading, saying it could adversely affect the growth of such trading from India. Algo trading is considered to be an automatic buying-selling system based on algorithms. SEBI has recently said in a discussion paper that it would create a framework for regulating Algo trading by retail investors. A senior official of a brokerage firm said that monitoring of Algo trading is a need of the hour, but such an attempt could hamper the growth of Sebi Algo trading. He added that if the suggestions made in the SEBI discussion paper were implemented, it would be difficult for brokers to make the API available. About 70% of the daily trading volume in Indian stock markets is transacted through advanced forms of algo trading. Algo Trading came to India in the year 2006, but then only se
Read more