Government should shorten the time lines proposed in the bankruptcy code for completion of various processes for liquidation and bankruptcy of insolvent entities, a Parliamentary panel said on Thursday.
The Joint Committee on 'Insolvency and Bankruptcy Code, 2015' in its report tabled in Parliament also said that IT infrastructure of various tribunals and appellate authorities should be upgraded for fast-tracking the liquidation process under the Code.
“The Committee reviewed the time lines provided for various processes during the course of insolvency, liquidation and bankruptcy and decided to reduce the time period given under (different clauses)” to expedite the process, the report said.
It suggested that the time for filing an appeal in the Supreme Court against the order of NClT should be brought down to 45 days from the proposed 60 days. It also suggested reduced time period in host of other clauses proposed in the Bill, which was tabled in lok Sabha in December last year.