To the list of businesses having a forgettable 2020, add ARCs, or asset reconstruction companies. They are a miffed lot these days. This can be traced back to the RBI’s recent rejection of the sale of bankrupt telecom operator Aircel to a solo bidder, an ARC, under the insolvency and bankruptcy code, or IBC. The move has led to the ARC community knocking hard on the doors of the banking regulator. ARCs believe IBC provisions do not bar their participation. The regulator’s stance is clear: ARCs cannot directly buy equity in a company, they can only buy debt and convert the debt to equity at a later stage if they want. So can ARCs participate in IBC proceedings? Some experts believe they can, but as joint applicants, with a separate equity partner on board, and not go solo. If that’s the case, then what’s the brouhaha about? What’s more, we hear even the MCA and Insolvency and Bankruptcy Board of India have swung into action and reached out to the RBI on this thorny issue. Maybe the regulator needs to set the record straight once and for all.