New Delhi: The National Company Law Tribunal (NCLT) has disposed of insolvency cases involving an amount of nearly Rs 10.5 lakh crore, excluding liquidation and certain other matters. The amount pertains to cases filed by financial and operational creditors as well as those done voluntarily for resolution under the Insolvency and Bankruptcy Code (IBC).
The tribunal's President Chief Justice (Retd) Ramalingam Sudhakar mentioned about the figures while delivering the sixth annual day lecture of IBBI.
He also said that the Insolvency and Bankruptcy Board of India (IBBI) has been trying to reduce delays in the resolution process.
Under Sections 7, 9 and 10 of IBC, 25,225 cases involving a total amount of Rs 10,49,264 crore have been disposed of, he said.
Out of the total, 23,608 cases involving an amount of Rs 7,21,282 crore have been settled before admission.
Resolution plans have been approved in 565 cases, involving an amount of Rs 3,03,381 crore, he added.
The figures are for the period from November 1, 2017, to August 31, 2022.
The amount realised under Sections 43, 45, 49 and 66; during liquidation; and Sections 94 and 95 of IBC are not included in the total.
As per the NCLT website, the data is subject to modification.
IBC, which provides for a market-linked and time-bound resolution of distressed companies, came into force in 2016 and since then, various amendments have been made to the Code as well as the regulations.
While emphasising that timeline and speed are the essence of the resolution process, Sudhakar said the decisions of NCLT have a far-reaching bearing on the outcome of IBC.
Sudhakar also said that despite various shortcomings, the tribunal is not deterred from being the adjudicator.
(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, Join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)