Finance Ministry today said that efforts will be made to pass the insolvency and bankruptcy bill in the ongoing session of Parliament that will help domestic entities to resolve distress situation faster.
"Bankruptcy Code: Welcome submission of report by Joint Parliamentary Committee. Effort will be to get it passed in current Budget session," Economic Affairs Secretary Shaktikanta Das tweeted today.
The Joint Committee on 'Insolvency and Bankruptcy Code, 2015' in its report tabled in Parliament today suggested reduction in the time period given under different clauses to expedite the process.
The committee said in case of insolvency, interest of the workers should be fully protected and they should be given dues for 24 months as against 12 months proposed in the bill.
"Bankruptcy Code: Domestic corporates, LLPs, partnership firms, etc will gain in efficiency. Resolution of distress situations will be faster," Das tweeted.
The Bankruptcy Code will make banking system more robust, economy more efficient and India a more attractive investment destination, he added.
The Parliamentary committee also suggested the time for filing an appeal in Supreme Court against the order of National Company Law Tribunal (NCLT) should be brought down to 45 days from the proposed 60 days. It also suggested reduced time period in host of other clauses proposed in the Bill, which was tabled in Lok Sabha in December last year.
