Covid-19 may create stress on External Commercial Borrowings (ECB) and guarantees issued for overseas borrowings of Indian corporates. The consequences will not only be bitter for the corporates but also for the larger fraternity of creditors in India, in case a cross border insolvency framework is not implemented at the earliest. In 1996, a prominent…
Learning to recognise early signs of trouble, and partnering with an insolvency expert, can help public practitioners save their clients from going under. At a glance Challenging market conditions have resulted in many small businesses operating on the brink of insolvency. The best outcomes can be achieved when businesses, tax practitioners and insolvency experts partner…
Celebrity chef Jock Zonfrillo has voted to settle the debts of his failed Adelaide restaurants by paying major creditors between five and 10 cents in the dollar, against the wishes of the Australian Tax Office. Key points: Jock Zonfrillo’s restaurants in the East End of Adelaide’s CBD have closed Most creditors will receive between five…
Rationale Asset Management PLC, Value Asset Management PLC and Merydion Corporation Limited were involved in property investment and were previously placed into provisional liquidation in the High Court. A provisional liquidator was appointed and the Official Receiver has responsibilities to protect assets in the possession or under the control of the companies pending the determination…
The Debenhams department store chain is to be wound down after Christmas, with the loss of up to 12,000 jobs and closure of 124 stores in a new blow to the high street. The liquidation of the 240-year-old business came just a day after Philip Greens Arcadia group, the owner of brands including Topshop, Miss…
India may settle for a pre-packaged insolvency regime which is NCLT-facilitated and not entirely outside of the courts purview, said Sudhaker Shukla, whole-time member, IBBI. This is unlike the process in advanced jurisdictions like the UK, where the pre-packs are outside the court process. A pre-packaged insolvency is an agreement between secured creditors and investors…
Any change to the order of payments on insolvency inevitably has consequences on the outcomes for creditors, and is therefore likely to drive changes in behaviour. While some of those changes would have been obvious and anticipated by the legislature, others risk undermining some of the stability that has been brought about by initiatives taken…
By Reuters Staff 2 Min Read DUBAI (Reuters) – Dubai builder Arabtec Holding said on Monday it will go ahead with its earlier plan to file for bankruptcy and liquidation after shareholders did not agree for the company to continue its existing business and seek restructuring. The statement came after a shareholder meeting earlier on…
PUTRAJAYA (Dec 1): A company in the midst of being wound up can still receive damages for defamation as vindication of its reputation and to avoid further disrespect which it may have suffered due to defamatory words published, a senior lawyer told the Federal Court today. Tan Sri Cecil Abraham, who appeared for Raub Australian…
Staff at Debenhams are facing an uncertain future today, after the company confirmed it had started the liquidation process. If completed, that would see the 242-year-old department store cease to exist, with all branches closed and 12,000 jobs lost. As things stand, administrators are still looking for offers “for all or parts of the business”,…