Tranzission Blogs
328articlesInsights and guides on tax, compliance, and business strategy from Tranzission.
What is the difference between the SARFAESI Act and IBC?
To understand the difference between the SARFAESI Act and IBC, it’s important to recognize that the Insolvency and Bankruptcy Code (IBC), introduced in 2016, was designed to streamline the process of managing an insolvent’s liabilities and creditor claims through a structured, time-bound resolution. Unlike the SARFAESI Act, which primarily empowers secured creditors to seize and […]
Read moreWhat are the common job roles in the insolvency field?
In insolvency proceedings, the insolvency practitioner takes on multiple roles, each demanding different responsibilities and skills depending on the stage of the process. One of their primary tasks is ensuring that the interests of the corporate debtor, creditors, stakeholders, and other parties are balanced without causing harm to another. Practitioners may act as liquidators, administrators, […]
Read moreKey aspects of UNCITRAL and its impact on insolvency law
Key aspects of UNCITRAL (United Nations Commission on International Trade Law) plays a crucial role in international insolvency law through its Model Law on Cross-Border Insolvency, which was approved by the United Nations General Assembly through a resolution in 1997. The Model Law allows for nations to alter, exclude, or include certain provisions in addition […]
Read moreImpact of IBC on Foreign Direct Investment
Having a clear and efficient insolvency process reduces the perceived risk for foreign investors, as they are more confident about recovering their investments if a company they invest in faces financial difficulties. The Insolvency and Bankruptcy Code, 2016 (IBC) streamlines the insolvency process, leading to a quicker resolution, which positively impacts investor sentiment and encourages […]
Read moreWho Is Eligible For Graduate Insolvency Programme ?
The Graduate Insolvency Programme (GIP) is a specialised course offered by the Indian Institute of Corporate Affairs (IICA) at its Manesar Campus. It is one of the most competitive exams specifically for the insolvency professionals as it admits only 52 candidates all over India. The eligibility for the GIP is restricted to individuals with an […]
Read moreLegal Perspective: Personal Insolvency under IBC
Insolvency and Bankruptcy Code, 2016 incorporates personal insolvency processes for resolving the financial distress of individual debtors in a structured and time-bound resolution. The most common form of personal insolvency under IBC is bankruptcy, however this is not ideal for any individual as debtors are working towards reviving, restructuring, or rehabilitating themselves. Understanding Personal Insolvency […]
Read moreHow does IBC facilitate mergers and acquisitions?
The enactment of the Insolvency and Bankruptcy Code (IBC) in 2016 has introduced significant reforms to the insolvency framework in India. It provides an efficient mechanism for resolving distressed assets and reviving financially distressed companies. The IBC has the potential to influence mergers and acquisitions (M&A) as an attempt to revive an insolvent company. Understanding […]
Read moreOperational Creditor Challenges in IBC
The current insolvency framework in India is focused more on creditors rather than the previous debtor-centric approach. The goal of the resolution process is to maximise asset value while balancing the interests of all stakeholders, attempting to revive struggling businesses. The creditors of the corporate debtor should be treated fairly with equal treatment through the […]
Read moreConstitution of Committee of Creditors under Section 21 of IBC
There are several stakeholders involved in making the resolution process effective, including the Committee of Creditors under Section 21 of IBC. The CoC has a crucial role in the outcome of the proceedings, their decisions determine the revival or liquidation of the distressed companies. The Insolvency and Bankruptcy Code, 2016 (IBC) governs the formation of […]
Read moreDifference between a liquidator and an insolvency professional
This article Difference between a liquidator and an insolvency professional aims at providing clarity on the distinct roles of a them. Both of these positions are central to guiding a company through their financial difficulties, although the engagement of both in the insolvency process is distinct. While an IP has the main responsibility with supervising […]
Read moreImportance of Continuous Education for Insolvency Professionals
The insolvency sector is dynamic and constant evolving, with changes in legislation, market conditions, and best practices shaping how professionals operate. Continuous Education for Insolvency Professionals also stay effective, compliance and competitive. This article explores why ongoing professional development is crucial and offers strategies to help professionals thrive in their careers. Why Continuous Learning is […]
Read moreWhat to learn from Singapore insolvency framework
Singapore insolvency framework is considered one of the best due to its efficient processes, well-designed mechanisms, amongst other features. Having an effective insolvency framework for debtors can promote entrepreneurship, and responsibility for risk-taking, and prevent distressed companies from closing down. On the other hand, a framework for creditors can help them to recover their debts […]
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