Debt

Debt Financing

Foreign creditors may soon be in charge of defaulting Indian cos' assets; report

Mint  

Representatives of foreign creditors could be in charge of distributing the local assets of defaulting Indian companies in cases where an Indian tribunal recognizes overseas bankruptcy proceedings under New Delhi's proposed cross-border insolvency regime. New rules to be framed under a proposed section in the Insolvency and Bankruptcy Code (IBC) would allow local courts to entrust foreign creditors' representatives to distribute these assets once it is satisfied that the interests of creditors in India are adequately protected.