Economic Analysis of Corporate Bankruptcy Law Reform in India PDF Download

Author: Indrajit Mallick
Publisher:
ISBN:
Category : Bankruptcy
Languages : en
Pages : 148

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Author: Susan Thomas
Publisher: Springer Nature
ISBN: 9811608547
Category : Business & Economics
Languages : en
Pages : 198

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Book Description
This book is about the establishment of the Insolvency and Bankruptcy Code, in 2016, one of the most important new developments in Indian commercial law. The law has major implications for firms, their creditors, and a variety of the professional services that feed into the decisions of borrowers and lenders including lawyers, accountants and valuers. A new profession of insolvency professionals has come to exist owing to the law. There are several questions about bankruptcy reform in the mind of researchers, policy makers and practitioners. How has the reform progressed? How has it reshaped the incentives of firms? What are the difficulties faced? What are the optimal paths for borrowers and lenders and their advisors under the rubric of the law? How should laws and institutions be modified? The book has a unique set of chapters, by key people who have shaped the field which offer novel insights into these questions. The book has been edited by key people who have worked on bankruptcy reform since 2010. Dr. Sahoo has been the chairperson of the Insolvency and Bankruptcy Board of India since the establishment of this regulatory agency. Dr. Thomas was a member of the Bankruptcy Law Reforms Committee which drafted the IBC, and led the internal team of the BLRC which drafted the law. The book is an authentic and credible analysis of the happenings in the Indian insolvency and bankruptcy ecosystem from the start, with interest areas for international and domestic, economics/finance and law, researcher and practitioner communities.

Author: Kashyap, Amit
Publisher: IGI Global
ISBN: 1522555420
Category : Business & Economics
Languages : en
Pages : 283

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Book Description
With the increasing interdependence of global economies, international relations are becoming a more complex system. Through this, the growth of any economy is dependent upon the ease of business transactions; however, in recent times, there has been a growing impact of corporate insolvency law. Corporate Insolvency Law and Bankruptcy Reforms in the Global Economy is an essential reference source that discusses the importance of insolvency laws in the financial architecture of emerging economies, as well as its fundamental issues. Featuring research on topics such as business restructuring, debt recovery, and governance regulations, this book is ideally designed for law students, policymakers, economists, lawyers, and business researchers seeking coverage on the jurisprudence and policy of corporate insolvency law in a globalized context.

Author: Michelle J. White
Publisher:
ISBN:
Category :
Languages : en
Pages : 80

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Book Description
This paper surveys research on the economics of corporate and personal bankruptcy law. Since the literatures on the two types of bankruptcy have developed in isolation of each other, a goal of the survey is to draw out parallels between them. Both theoretical and empirical research are discussed.

Author: India. Advisory Group on Bankruptcy Laws
Publisher:
ISBN:
Category : Bankruptcy
Languages : en
Pages : 212

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Author: Param Pandya
Publisher:
ISBN:
Category :
Languages : en
Pages : 58

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Book Description
A Corporation is an artificial juristic person in the eyes of the law. It undergoes an inherent metamorphosis as a part of the business cycle. Despite conflicting view by noted experts, if one draws a human analogy, a corporation too takes birth at incorporation and attains its optimum splendor by wealth maximization. It at times suffers from 'ailing financial health' which is termed as 'corporate insolvency' and just like medication, tools like 'corporate rescue' are used to revive the financial ill health of a corporation. Corporate Insolvency resembles to the state of affairs when a company is unable to pay its debts. Various causes for insolvency include under-capitalization, over-trading, overleveraging apart from others. The legal framework to determine corporate insolvency and its economic analysis reveals three major problems - coordination, ex-ante efficiency and ex-post efficiency. A right balance of incentives and disincentives for ensuring a creditor-debtor friendly insolvency law should be the aim. However, imbalance in these incentives tend to render these laws inefficient. Also, impetus to corporate rescue mechanisms supplement the structure of corporate insolvency law and hence a structured hassle free mechanism should be implemented. On the Indian front, the absence of a single code prescribing mechanisms to deal with corporate insolvency and corporate rescue and the omnipresence of a web of legislations on the same, the efficiency and efficacy of these apparatus gets compromised. India had the Companies Act, 1956, Sick Industrial Companies (Special Provisions) Act, 1985 which has undergone a complete overhaul in the form of the Companies Act, 2013. Especially when India today seeks to increase its 'Ease of Doing Business' Ranking to lure investors a novel corporate insolvency and rescue model needs to be developed by resorting to global convergence in terms of acceptance of best practices from the international fraternity with a economic analysis in order to ensure existence of an efficacious corporate insolvency code. Please note that the said paper was written prior to the enactment of the Insolvency and Bankruptcy Code, 2016.

Author:
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Book Description
Apart from an extensive survey of the literature on the economics of corporate bankruptcy law, this thesis contains three own contributions: First, a model is presented where a firm's manager acquires some private information about whether a firm should be liquidated or stay in business. Providing the manager with suitable incentives to act in the investors' interest may be socially efficient, but not individually rational for the investors themselves. A second-best arrangement will be specified, and it will be shown how investors can be induced to implement it by means of an optimal bankruptcy code in the case where only standard financial contracts are available. The theory explains why bankruptcy law should, in some states of nature, let shareholders and senior creditors decide jointly, and provides a rationale for the existence of junior debt, which never enjoys any power of decision. Secondly, the topic of private debt workouts is taken up. It has often been argued that the coercive character of bond exchange offers leads to an inefficient liquidation policy, and that legal regulations are called for. In contrast to this claim, it will be argued here that such bondholder coercion will be anticipated when contracts are written out, so that the second-best arrangement will be obtained under any of the legal settings considered in the literature. Finally, there is a theoretical analysis and an empirical study of the incentives associated with Indian bankruptcy law, the key feature of which is that poorly performing firms are declared 'sick' and thereafter are run under governmental control. It is argued that governors have strong incentives to induce firms to choose a higher leverage by providing subsidized loans, because higher leverage increases the probability of financial distress, in which case the governor can implement his own conceptions of running the firm more easily. The model is applied to a data-set of some 2500 Indian manufacturing firms, and the bas.

Author: Yaad Rotem
Publisher:
ISBN:
Category : Bankruptcy
Languages : en
Pages : 604

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Book Description

Author: Barry E. Adler
Publisher: Edward Elgar Publishing
ISBN: 1781007888
Category : Law
Languages : en
Pages : 456

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Book Description
In this Research Handbook, today’s leading experts on the law and economics of corporate bankruptcy address fundamental issues such as the efficiency of bankruptcy, the role and treatment of creditors – particularly secured creditors – in the bankruptcy process, the allocation of going-concern surplus among claimants, the desirability of liquidation in the absence of such surplus, the role of contract in bankruptcy resolution, the role of derivatives in the bankruptcy process, the costs of the bankruptcy system, and the special case of financial institutions, among other topics.

Author: World Bank
Publisher: World Bank Publications
ISBN: 1464814414
Category : Business & Economics
Languages : en
Pages : 241

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Book Description
Seventeen in a series of annual reports comparing business regulation in 190 economies, Doing Business 2020 measures aspects of regulation affecting 10 areas of everyday business activity.