THE INSOLVENCY RESOLUTION PROCESS BY FINANCIAL CREDITOR UNDER THE INSOLVENCY AND BANKRUPTCY CODE 2016
Downloads
Keywords:
corporate debtor, insolvency, bankruptcyAbstract
The year 2017, a year of reforms rather landmark reforms firstly the GST and then the Insolvency and Bankruptcy code (IBC), the latter is just beginning to be examined closely and thoroughly. Due to these two enactments we are to witness a lot of changes in the manner businesses are conducted. The Insolvency & bankruptcy laws were scattered in lot more enactments and could not help recovery as it were time consuming, a need was felt that new stringent laws be enacted which would take care of the existing defaulters in a time bound manner. Therefore the Government of India decided to replace all the existing insolvency laws namely the Recovery of debts due to Banks and Financial Institutions Act 1993, the Sick Industrial Companies (Special Provisions) Act, 1985 (SICA), the Securitizations and Reconstructions of Financial Assets and Enforcement of Security Interest Act, 2002. The IBC received the assent of the President of India on 28th May, 2016. The Parliament enacted this new law for the reorganization and insolvency resolution of LLP, corporate persons, individuals and partnership firms within a time bound manner for maximization of value of assets and to consolidate the existing framework by creating a single law for insolvency and bankruptcy. The IBC is also to facilitate a better and faster debt recovery mechanism and is surely to change the negative perception1 of recovery and litigation associated with it India. The IBC provides that the insolvency process can be initiated either by the financial creditor or the operational creditor or the corporate debtor itself.
External References to this Article
Loading reference data...
Readership Data
Refreshing Cached Analytics Data
The cached analytics data has become stale and journal.thelawbrigade.com is making a fresh request to fetch the latest data from Google Analytics. This may take 20-30 seconds depending on the server response time from Google Analytics. Please do not close the browser during this time. We appreciate your patience.
License Terms
Ownership and Licensing:
Authors of research papers submitted to any journal published by The Law Brigade Publishers retain the copyright of their work while granting the journal specific rights. Authors maintain ownership of the copyright and grant the journal the right of first publication. Simultaneously, authors agree to license their research papers under the Creative Commons Attribution-ShareAlike 4.0 International (CC BY-SA 4.0) License.
License Permissions:
Under the CC BY-SA 4.0 License, others are permitted to share and adapt the work, even for commercial purposes, provided that appropriate attribution is given to the authors, and acknowledgment is made of the initial publication by The Law Brigade Publishers. This license encourages the broad dissemination and reuse of research papers while ensuring that the original work is properly credited.
Additional Distribution Arrangements:
Authors are free to enter into separate, non-exclusive contractual arrangements for distributing the published version of the work (e.g., posting it to institutional repositories or publishing it in books), provided that the original publication by The Law Brigade Publishers is acknowledged.
Online Posting:
Authors are encouraged to share their work online (e.g., in institutional repositories or on personal websites) both prior to submission and after publication. This practice can facilitate productive exchanges and increase the visibility and citation of the work.
Responsibility and Liability:
Authors are responsible for ensuring that their submitted research papers do not infringe on the copyright, privacy, or other rights of third parties. The Law Brigade Publishers disclaims any liability for any copyright infringement or violation of third-party rights within the submitted research papers.
Published
Issue
Section
License
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
Copyright © 2026 by Dr. Jayendra Kasture
The copyright and license terms mentioned on this page take precedence over any other license terms mentioned on the article full text PDF or any other material associated with the article.
