IBBI urges creditors to review suspicious pre-bankruptcy deals, aiming to boost recovery by 10%.

The IBBI Chairperson, Ravi Mittal, urged creditors to seriously review avoidance transactions in bankruptcy cases, potentially increasing recovery by 10%. These transactions, including fraudulent or preferential deals made before bankruptcy, have been flagged in over 1,300 applications worth about Rs 3.76 lakh crore. The IBBI aims to recover more by monitoring these transactions monthly and pursuing them legally. To date, around Rs 7,516 crore has been clawed back from settled applications.

November 12, 2024
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