Scheme to resolve MSME bankruptcies finds few takers
- The biggest advantage of the scheme is that admission of the case does not suspend existing management, unlike in general bankruptcy proceedings
NEW DELHI : The scheme for bankruptcy resolution of small businesses launched with effect from last April has received a lukewarm response so far, suggesting the need for further tweaks. Data from bankruptcy rule maker, the Insolvency and Bankruptcy Board of India (IBBI), showed that only two firms were admitted in FY22 under the scheme called ‘pre-pack.’
Login to enjoy exclusive benefits!
- Unlocked premium articles
- Personalized news
- Market Watchlist
- Insightful Newsletters & more