Role Of Mediation In Corporate Insolvency And Bankruptcy: International Perspectives With Reference
- IJLLR Journal
- Jul 11, 2022
- 1 min read
Role Of Mediation In Corporate Insolvency And Bankruptcy: International Perspectives With Reference To Covid-19
Adv. Harshita Yadav, LLM (Corporate and Securities Laws), Tamil Nadu National Law University, Tiruchirappalli
Introduction
In a fast-growing economy like India, where global corporations are investing aggressively, it is critical for legislators to give investors, both local and foreign, with a solid piece of law protecting and managing their rights and responsibilities.
The Insolvency and Bankruptcy Code of 2016, (IBC) was designed to safeguard creditors' rights to timely payment of their debts and to reduce liabilities instruments. The Act empowered investors to seize control of debtor corporations and devise a scheme of arrangement for the company's restructuring and rebirth. On behalf of the investors, the insolvency professionals authorized under the Code assume control of the firm, its administration, and its property. This is a time-limited procedure that is estimated to take 180 days to complete, with a maximum extension of 90 days.
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