News in brief

Bill on changes in bankruptcy code introduced in Lok Sabha

New Delhi, December 28 (IANS): A bill was introduced in the Lok Sabha on Thursday seeking to amend the Insolvency and Bankruptcy Code (IBC) to plug potential loopholes and prohibit “certain persons”, such as wilful defaulters, from submitting resolution plans to let them take charge of the company. The Insolvency and Bankruptcy Code (Amendment) Bill, 2017 was introduced by Finance Minister Arun Jaitley. It sought to replace an ordinance promulgated earlier. The IBC, being implemented by the Corporate Affairs Ministry, became operational in December 2016 and provides for a time-bound insolvency resolution process. The changes proposed are expected to help streamline the process of selecting buyers for stressed assets. For instance, currently the Code does not specify the type of buyers who can bid for stressed assets of companies that are undergoing bankruptcy proceedings.

 

Equity indices close in red; banks, auto stocks slump

Mumbai, December 28 (IANS): Key Indian equity indices on Thursday gave up all gains to provisionally close in the red, with heavy selling pressure in banking, auto and oil and gas stocks. “Markets ended in red post the monthly expiry. Concerns over government borrowing exceeding target also kept markets lower at end of the day’s trade,” Dhruv Desai, Director and Chief Operating Officer of Tradebulls, told IANS. The broader NSE Nifty50 of the National Stock Exchange (NSE) slipped by 12.85 points or 0.12 per cent to provisionally close (at 3.30 p.m.) at 10,477.90 points — falling below the important 10,500-level. The barometer 30-scrip Sensitive Index (Sensex), which opened at 33,928.86 points, closed at 33,848.03 points — down 63.78 points or 0.19 per cent — from its previous session’s close.