Insolvency and Bankruptcy Code has led to recovery of Rs. 3 lakh crores of stressed assets in 2 years
More than 9,000 cases have come for redressal under the Insolvency and Bankruptcy Code (IBC) after it became fully operational in December 2016.
Reserve Bank of India is planning to use insolvency laws against the big loans defaulters.
Defaulters have not been named, but banks will be asked to initiate insolvency proceedings to recover the dues.
There is a huge mismatch between RBI estimation and respective private bank’s own estimation of stressed assets.