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Apex Court upholds Insolvency and Bankruptcy Code
National

Apex Court upholds Insolvency and Bankruptcy Code

Agency News

New Delhi, Jan 25 : The Supreme Court on Friday upheld the constitutional validity of the Insolvency and Bankruptcy Code (IBC).

A bench of Justices Rohinton Nariman and Navin Sinha dismissed a batch of petitions challenging the code. The apex court was hearing a batch of petitions challenging the code on the grounds that it discriminates against operational creditors and their interests as against the financial creditors.

The court had reserved its judgement on January 16.

The IBC, passed in 2016, consolidates and amends the laws relating to reorganisation and insolvency resolution of corporate persons, partnership firms and individuals in a time bound manner for maximization of the value of assets of such persons, to promote entrepreneurship, availability of credit and balance the interests of all the stakeholders. (UNI)