New Delhi: The pre-pack model of insolvency resolution introduced over two years ago to speed up the rescue of smaller firms has failed to take off, as bankers worry that the voluntary haircuts they opt for could lead to allegations of impropriety in the future. This, despite the fact that court approvals mandatory for all…
The lenders of Future Retail Ltd have rejected the bid submitted by Space Mantra for the debt-ridden firm, which is currently going through Corporate Insolvency Resolution Process (CIRP). The Resolution Plan submitted by Space Mantra for Future Retail Ltd (FRL), failed to get the required number of votes in the e-voting process of the Committee…
Debt settlement arrangements allowing people who got into financial difficulties to write-off millions of euro worth of unsecured debt mainly owed to financial firms have been approved by the High Court. On Monday, Mr Justice Alexander Owens approved the unrelated arrangements. Advertisement The judge approved a debt settlement arrangement (DSA) allowing Co Louth-based chartered accountant…
Insolvency rates among firms are rising, but business failure remains at historically low levels, an analysis by PwC has concluded. In its latest Insolvency Baromoeter, PwC reported that insolvencies were up by a third in the first nine months to 468 compared to the same period last year. The final quarter of the year is…
The Insolvency regulator Insolvency and Bankruptcy Board of India (IBBI) aims to enhance the efficiency of the personal guarantors insolvency process with three significant measures. These proposed measures, currently open for public comments until October 19, include mandatory creditors meetings for all personal guarantor insolvency cases, allowing a single resolution professional to handle both personal…
What did the court say? The court granted the compensation order. In deciding whether to grant the order, the court had to wrestle with the question of calculation. The only other application for a compensation order to date (Re Noble Vintners Ltd [2019] EWHC 2806 (Ch)) concerned a breach of directors duty. For most kinds…
In this weeks TGIF, we examine the recent case of Mandalinic v Stone (Liquidator) [2023] FCAFC 146 which provides useful guidance as to the ability of a director to challenge an insolvent companys PAYG liability. Key takeaways A director cannot rely on an affidavit in proceedings relating to their personal liability under a directors penalty…
Any business facing financial challenges will likely be concerned about what steps they need to take going forward. For businesses facing these kinds of challenges, or looking to wind down their operations, its generally necessary to use the services of an insolvency practitioner. If youre a small business looking for assistance in these matters, then…
The Dutch branch of vertical farming startup Infarm, best known for its global network of modular container farms, has been declared bankrupt according to official documents. Infarm says the bankruptcy is not impacting its current restructure in which the company is focusing on markets where profitability is likely attainable. Multiple industry sources say Infarm has…
Table of Contents {{ tocState.toggleTocShowMore ? ‘Show more’ : ‘Show less’ }} Australias business landscape has seen a steady rise in the number of insolvencies in recent months as cost-of-living pressures bite and economic conditions slow down. Although numbers had declined for several years, business collapses are now back above pre-pandemic trends, putting the spotlight…