Insolvency and Bankruptcy Code 2016 – Decade of Corporate Restructuring in India

After Independence, the India’s development in corporate mercantile is transformed through IBC (Insolvency and Bankruptcy Code, 2016) which set up by legislative intercession enacting the laws relating to bankruptcy and insolvency which takes intensive time during the regime of insolvency but, IBC initiated laws by making obligatory within time period, unification and single creditor approach for reconciling the corporate anguish. Over a decade, the Insolvency and Bankruptcy Code assisted in recovering the NPA (Non-Performing Assets) through SCB (Scheduled Commercial banks) which as per the Reserve of India records, recovered the money from several medium such as Lok Adalat, SARFAESI Act, DRT (Debt Recovery Tribunals) and IBC by virtue of legal machinery during 2017-18 to 2023-24 among which IBC remains as preeminent in adding Rs. 46,340 crore recoveries made via banks that is 48.1% in 2023- 2024. The “Resolving Insolvency” of World Bank significantly marks the India’s ranking that as enhanced to 52nd rank from 136th rank during 2015 to 2019 and also increasing the recovery from 25.7% to 71.6% by the creditors simultaneously the average time reduced from 4.3 to 1.6 years in determining the insolvency cases.