BHUBANESWAR: The finance association of Xavier Institute of Management, Bhubaneswar (XIMB) organised its annual business conclave on Sunday with a focus on the Insolvency and Bankruptcy Code (IBC).
The business conclave on the theme ‘Insolvency: The End or a New Beginning?’ was attended by many dignitaries including insolvency professional and proprietor of Vishal G Jain and Associates Vishal Jain, investment banking director of Keynote Corporate Services Limited Uday Patil, deputy VP of RBL Bank Somjeet Behera and executive director of Nomura India Investment Banking Debasish Panigrahi. Speaking at the conclave, Jain highlighted the importance of IBC and the ways this legal framework reduces information asymmetry and maximises value in a timebound manner.
He said when a business fails, the best arrangement is to go through a quick negotiation. Patil said, “The goal of IBC is not to lead the company into liquidation, but to try to find value buyers and facilitate the revival of the company.”
He also shed light on the SARFAESI Act which provides banks and various financial institutions leeway to auction residential and commercial property without the interference of the court. Behera hailed IBC as one of the Government’s ‘landmark’ policies. He explained the concept of Twin Balance Sheet problem and how IBC is solving it.
The deputy VP of RBL further gave insights about Tata Steel’s resolution plan and acquisition of debt-ridden Bhushan Steel in which he was directly involved. “IBC is a revolution which would improve India’s position in Ease of Doing Business,” he said. Debasis Panigrahi and XIMB Prof DV Ramana also spoke.