Wealth managers, insurance brokers, merchant bankers and mutual funds could be brought under Insolvency and Bankruptcy Code.
More the Merrier: So far, the Insolvency and Bankruptcy Code (IBC) covers non-bank finance firms with assets over INR500cr. Now, the government is reportedly planning to bring 30-40 categories of financial intermediaries under the ambit of the law. Wealth managers, insurance brokers, merchant bankers and share transfer agents may soon be bought under the IBC's ambit. So too, as per SEBI Chairman Ajay Tyagi, will mutual funds. ToI
Change is the Only Constant: "Faster resolutions and value maximisation" are the two stated objectives of the IBC. But three years, three amendments and endless debates later, it remains flawed. Fixing its loopholes and strengthening it to tackle bad credit is crucial. How should IBC Ver 2.0 look like? Here's a deep-dive on the matter.
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