Secretary, Department of Financial Services (DFS), Shri M. Nagaraju, chaired a review meeting to address issues related to pending Insolvency and Bankruptcy Code (IBC) cases at National Company Law Tribunal (NCLT). Senior officials from the DFS, Insolvency and Bankruptcy Board of India (IBBI), and top management of public sector banks participated, acknowledging progress on cases admitted, resolved, and disposed outside the IBC framework. Secretary Nagaraju stressed strict adherence to timelines for admitting Corporate Insolvency Resolution Process (CIRP) applications and for resolving cases, aiming for an efficient and robust resolution environment.
Monitoring and Strategic Bank Action
Chief Executives of Public Sector Banks (PSBs) were advised to monitor the top twenty cases pending for admission and the top ten accounts pending for resolution at NCLT, encouraging personal oversight to accelerate outcomes. During discussions on cases where resolution plans are pending with the Committee of Creditors (CoC), banks were directed to take a coordinated approach and expedite actions by working with counsels to minimize delays in CIRP application filings.
Implementation of IBBI Circular and Asset Restitution
The meeting highlighted the newest IBBI circular (dated November 4, 2025), instructing Resolution Professionals to file required undertakings before Special PMLA Courts for restitution of assets attached by Enforcement Directorate. This procedural improvement is anticipated to resolve conflicts between insolvency and anti-money-laundering frameworks, accelerate recovery, and assure correct distribution of reclaimed assets for creditor benefit.
Streamlining the IBC Ecosystem: DFS Secretary
Secretary Nagaraju urged banks to adopt strategic approaches, streamline stakeholder collaboration, and reinforce the IBC ecosystem. These steps aim to maximize value, boost recoveries, and prevent future delays, aligning with principles of accountability and transparency throughout the insolvency process.
For more real-time updates, visit Channel 6 Network.
Source: PIB
