The corporate insolvency resolution process (CIRP) is carried out in accordance with the provisions of the Insolvency and Bankruptcy Code (IBC).
As of September 30, a total of 4,708 CIRPs had been launched under the IBC.
“The realizable value of 421 cases which were resolved through a resolution plan as of September 30, 2021 is Rs 2.55 lakh crore for all creditors including financial creditors. The liquidation value of these companies was Rs 1.48 lakh crore.
“If no resolution plan is received or if no resolution plan is approved by the decision-making authority, the legal person proceeds to liquidation. Minister of Trade Affairs Nirmala Sitharaman told the Rajya Sabha on Tuesday.
In a written response, the Minister also stated that the total amount of admitted claims from financial creditors against 421 debtor companies, which were resolved through a resolution plan, is Rs 7.19 lakh crore while the achievable amount is Rs 2.46 lakh crore.
“The Insolvency and Bankruptcy Board of India, the regulator of the IBC, maintains data on admitted debts and realizable debts, for each company debtor under the CIRP,” she said. added.