Mediation as a dispute resolution mechanism makes sense given that over 60% of the applications for initiating CIRP are settled before NCLT admits the plea.
Panel has proposed establishment of dedicated and specialised NCLT-annexed insolvency mediation cell with independent secretariat to administer, oversee and manage conduct of insolvency mediations under Code
The regulator clarified disciplinary proceedings, the limit on the number of assignments, and fee structures for Insolvency Professional Entities (IPEs), , Insolvency and Bankruptcy Board of India (IBBI), insolvency professional entities (IPE)
Sources said the prospective bidders sought relaxation in eligibility criteria such as turnover threshold as well as mandatory Insolvency and Bankruptcy Board of India (IBBI) registration
In absolute terms, the default amount involved in the withdrawn cases was almost three times the Rs 3.16 lakh crore realised through the resolution of a total of 808 insolvent firms under the IBC until September 2023. The recovery from these 808 rescued firms constituted 31.85% of the creditors claims that were endorsed by the NCLT.