IBBI working to address issues concerning insolvency resolution process: Official – Blue Barrows

The Insolvency and Bankruptcy Board of India (IBBI) is taking measures to address issues concerning insolvency resolution process, an official said on Friday.

IBBI Executive Director Sandip Garg, who was speaking at a conference organised by industry body Assocham, said that the insolvency law has kept pace with the emerging market requirements and will remain relevant for all times to come.

The insolvency regulator is mulling on several concerns of IBC and Corporate Insolvency Resolution Process (CIRP), and is taking steps to address them, Garg said.

“The Code envisages resolution of the firm as a going concern, as closure of the firm destroys organisational capital. It facilitates continued operation of the firm as a going concern by moratorium on institution or continuation of suits or proceedings against the firm during the resolution period.

“It enables raising interim finances which has super priority in payment,” he said.

Competition Commission of India (CCI) Secretary Jyoti Jindgar Bhanot,who was also present at the event, said the regulator is responding dynamically to the changes in the merger and acquisition landscape, particularly with the emergence of the new-age market.