New Delhi, May 9 (KNN) Financial Services Secretary M. Nagaraju chaired a review meeting on Thursday to assess the progress of Public Sector Banks in clearing pending cases awaiting admission at the National Company Law Tribunal (NCLT). 

The meeting followed up on key issues aimed at enhancing the effectiveness of the insolvency resolution process. 

Senior officials from the Department of Financial Services, Ministry of Corporate Affairs, Insolvency and Bankruptcy Board of India, and top management from Public Sector Banks attended the meeting.

The gathering conducted a thorough review of cases pending admission at NCLT. Banks received directives to accelerate the resolution process by reducing delays in filing Corporate Insolvency Resolution Process (CIRP) applications, avoiding unnecessary adjournment requests, and maintaining other recovery channels simultaneously. 

Bank advocates were instructed to oppose any delaying tactics based on frivolous grounds by opposing parties.

Officials noted that several accounts have been resolved by banks through various recovery mechanisms since the previous review. 

The Department of Financial Services urged bank management to conduct regular reviews of their top twenty cases and monitor accounts where Resolution Plans have remained pending with the Committee of Creditors (CoC) for over three months. 

Banks were also directed to focus on getting stay orders vacated to resume the resolution process without further time loss.

The meeting concluded with a call for strengthened recovery frameworks through coordinated efforts to ensure a more robust and efficient resolution process.

(KNN Bureau)