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NPA Resolution to Help Save Companies, Not Liquidate Them, Arun Jaitley Says
August 22, 2017
Addressing an insolvency summit that was organized by the Confederation of Indian Industry (CII), Finance Minister Arun Jaitley said that the insolvency framework has greatly improved the relationship between the debtors and creditors. He also assured the debt-stressed companies that the NPA resolution was created not to liquidate defaulter businesses but rather support them.
Jaitley said that the older NPA resolution system protected the debtors so much that the stressed-assets would just rust as the creditors chased them non-stop to no avail. However, in the new regime, the debtors will have to service their debt, which is the right way how a business should be done.
