Insolvency resolutions of companies and individuals will be completed within 180 days, as per a new law which has got the nod from President Pranab Mukherjee.
Insolvency is a situation where an individual or a company is unable to repay outstanding debt.
The legislation has a provision for imposition by appropriate authority a minimum penalty of Rs one lakh and extendable up to Rs one crore on “any person initiating the insolvency resolution process or liquidation proceedings fraudulently or with malicious intent”.
The Insolvency and Bankruptcy Code, 2016, got the presidential assent on Saturday, according an official notification.
A Bill in this regard was passed by Rajya Sabha on May 11. Lok Sabha had given its nod to it on…
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