Sukrit R. Kapoor Highlights Abuse by Defaulting Personal Guarantors in Insolvency Code Review in an article in Financial Express

Sukrit Kapoor, Partner at King Stubb & Kasiva, has brought attention to a critical issue in a recent Financial Express article. Kapoor stated, “The issue of personal guarantors availing undue benefit of interim moratorium to fend off claims and ongoing litigations deserves a closer look. Intentional abuse of the process by defaulting personal guarantors only to delay other recovery proceedings is a serious concern and has been highlighted by many High Courts as well.”

This observation underscores the urgent need to review and amend the Insolvency and Bankruptcy Code (IBC) to prevent such exploitation and ensure the integrity of recovery proceedings.

Read more: https://www.financialexpress.com/business/banking-finance-insolvency-draft-may-be-reviewed-3517101/