Banks seek 90-day extension in resolution process of cos on RBI's first list

Posted On : February 01, 2018

As the lenders feel they may not have sufficient time to reassess defaulters underthe new IBC norms,Banks are seeking a 90-day extension from NCLT for resolution process of some of the defaulters on RBI's first list of Insolvency and Bankruptcy cases. First IBC defaulters list had a deadline of 180 days to resolve these cases that was to expire in January and February. An extension will give banks i.e.two more months to finalise a resolution plan against these defaulters. After the extension, the timeline would be extended to the end of April or May.Sources said that, NCLT has already granted a 90-day extension for Monnet Ispat and Jyoti Structures.