The National Company Law Tribunal, which was seen as one of the major reforms to tackle bad loan recovery, has turned five amid serious concerns about the efficiency of its process and its outcomes.
The Corporate Insolvency Resolution Process determines whether a defaulter can repay or not, by evaluating assets and liabilities. If a corporate becomes insolvent, a financial creditor (bank/non-bank financial company) an operational creditor (supplier/contractor etc.), or the defaulting corporate itself may initiate CIRP by filing an application with the NCLT.
The NCLT is an adjudicating authority responsible for resolving disputes related to company law, mergers, amalgamations and the winding up of companies the insolvency resolution proc…
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