Insolvency Code Being Used As A Debt Recovery Tool

India’s one year old insolvency regime has seen around 2,400 applications so far. Out of these, a majority have been filed by operational creditors — such as vendors, suppliers and employees — who can potentially force the company into liquidation for a default of as low as Rs 1 lakh.

And how does that fit into the objective of the Code of maximising asset value of distressed companies?

Watch the discussion with lawyers and resolution professionals on BloombergQuint’s weekly series Fineprint.