Creditors Recovered Rs 3.58 Lakh Crore in 1,119 Liquidation Cases, No Info on Haircuts in Settlement: Govt

Creditors have recovered Rs 3.58 lakh crore through resolution of 1,119 cases under India's insolvency law as of December 31, 2024. Minister of State for Corporate Affairs Harsh Malhotra informed the Rajya Sabha that 2,707 cases ended in liquidation orders. Final reports were submitted in 1,274 cases, realizing Rs 0.13 lakh crore for creditors. The government does not maintain information on amounts waived or forgone in settlements. Malhotra emphasized that realization under the Insolvency and Bankruptcy Code is market-driven and depends on asset quality at the time of resolution. No cap on resolution amounts is envisaged, and data on bank realizations under the IBC process is not maintained.

 

Source: Economic Times