Asserting that resolution plans should balance interests of all stakeholders, IBBI chief MS Sahoo has said operationalising the individual insolvency framework as well as developing the market for interim finance are among the priorities for the regulator. In one year of existence, the Insolvency and Bankruptcy Board of India (IBBI) has already put in place the infrastructure ecosystem and now has over 1,000 insolvency professionals registered with it. The IBBI was established under the Insolvency and Bankruptcy Code on October 1, 2016.
“The insolvency and bankruptcy resolution has been a reform by the stakeholder, for the stakeholder and of the stakeholder given the progress so far,” Sahoo told PTI in an interview. With swift enactment and implementation, the IBC has caught the ‘fancy of all stakeholders’ as reflected in the numbers - so far more than 700 applications have come up under this law and around 50 of them have been admitted for resolution.
listing out the priorities, Sahoo said one is to operationalise the individual insolvency regime in respect of guarantors to the corporates and the individuals having proprietary business. Besides, the IBBI will work to promote a conducive environment for the development of markets for interim finance, resolution plans and liquidation of assets. “Addressing irritations and deficiencies in the regulations as soon as we come across those from experience of carrying out transactions,” besides expediting the operationalisation of information utilities are among the priorities, Sahoo said.