It seems that the infallible weapon of the government, which was used to reduce the NPA, was not doing anything. When the Insolvency and Banking Code (IBC) was implemented a few months ago, it was believed that it will take the final solution to the problem of debt of Rs 9.5 lakh crore rupees.
But in six months it has become clear that there are many shortcomings in the present format of IBC, which can lead to more problems in the coming days. Therefore, the government has now formed an Insolvency Law Committee to suggest changes in the IBC, which will give its suggestions in two months. In such a case, it is a matter of concern that under the IBC, the process of selling assets of non-paying companies will be pending.