Will the New Year fast-track resolution of stressed assets? CNBC-TV18’s Latha Venkatesh sat down with top bankers, corporates and legal eagles at the Edelweiss Credit Conclave 2020 and the consensus was that once the merger of PSU banks goes through, the resolution should be faster.
Challa Sreenivasulu Setty, deputy managing director, SARG at SBI said, "I am surprised that why the lenders who even have exclusive security do not want to work under ICA as this is better forum than Insolvency and Bankruptcy Code (IBC) because there the assets have to be pooled and they probably would lose out there in IBC."
Seshagiri Rao, joint managing director and group chief financial officer of JSW said, "As far as resolution is concerned, JSW Steel is one of the companies which went for restructuring in 2000 and at that time, public sector banks used to be controlled by the government has more than 51 percent. So restructuring is not bad at all. Considering the market conditions, restructuring is required to be done."