Bankruptcy

Byju Raveendran ordered to pay over $1 billion by US court after default ruling

The Delaware court also directed the Byju’s founder to provide a full accounting of the missing $533 million moved through multiple entities.

Missing $533 million was "roundtripped" back to Byju Raveendran, affiliates: alleges Delaware court filing; Byju's denies allegations

In November 2021, the company raised $1.2 billion Term Loan B through its US financing vehicle, Byju’s Alpha. The money was intended to fuel large international acquisitions and rapid scaling. By mid-2023, lenders alleged major breaches of the credit agreement.

IBC Rewired: Practical fixes for a complex economy

Nearly a decade of insolvency law’s operation has shown that there are loopholes in its design which limit its potential benefit. The recently introduced amendment bill seeks to resolves key jurisprudential conflicts, streamline procedures, and empower creditors

Lenders prioritized over government’s dues in IBC Amendment Bill, guarantors can't disrupt insolvency

The bill extends the role of the committee of creditors to liquidation process as well, which was earlier restricted to resolution alone. It also proposes to now allow creditors to include assets belonging to corporate or personal guarantors as part of ongoing insolvency process.

SC judgment on Bhushan Steel bankruptcy is a blow to JSW and Indian business

The IBC suffers from systemic issues that would need radical changes

Maximising asset value through IBBI regulations

The IBBI plays a pivotal role in maximising asset value under the Insolvency and Bankruptcy Code. New regulations aim to improve efficiency, reduce delays, and ensure transparency in the resolution process, though challenges like prolonged timelines persist

FlyDubai eyes domestic airline venture through Go First acquisition

Busy Bee Airways is already in talks to acquire Go First’s trademarks and flying licence for around Rs 1,000 crore. EaseMyTrip had also shown interest in reviving GoFirst earlier.

US corporate bankruptcies hit 14-year high as interest rates take toll

Consumer companies such as Party City hit by persistent inflation and weak spending

Reforming India's personal insolvency framework for economic stability and growth

India's personal insolvency framework requires reform to address financial distress, promote economic stability, and empower individuals. A robust framework can prevent systemic risks, strengthen institutions, and foster sustainable growth by adopting global best practices and addressing local socio-economic realities

Mom memes flood internet as Tupperware mulls bankruptcy: 'My mom just fell to her knees'

Launched in the 1940s, Tupperware became a household name after it introduced its plastic products with flexible airtight seals to the public. The company struggled for years with declining sales and is reportedly more than $700 million in debt.

Tupperware brands plans to file for bankruptcy

The bankruptcy preparations follow protracted negotiations between Tupperware and its lenders over how to manage more than $700 million in debt.

Why integrating technology platforms is essential for quickening insolvency resolution

‘A single source of truth’ on the affairs of a debtor can compress timelines in resolution. Information asymmetry leads to delay. Also, segregating insolvency court from the company court will result in shaper focus

WeWork cleared to exit bankruptcy and slash $4 billion in debt

U.S. Bankruptcy Judge John Sherwood approved WeWork's restructuring at a court hearing in Newark, New Jersey. With that approval, WeWork will be ready to exit from bankruptcy with no debt "in a matter of days," WeWork attorney Steven Serajeddini said at the hearing.

Red Lobster files for bankruptcy blaming it on 'endless shrimp' promotion

Founded in 1968 in Lakeland, Florida, Red Lobster quickly became a pioneer in casual dining. Yet, despite its early success, Red Lobster struggled to maintain its footing in a rapidly changing market.

Go First revival in further jeopardy as the airline may lose airport slots, international flying rights

The government had temporarily allocated the flying rights of Go First in the Winter Schedule for 2023 and Summer Schedule for 2024, and these are likely to be made permanent by the end of the month

Heubach Colorants India stock plunges 15% as sister firm files for bankruptcy in Germany; Sudarshan Chemicals up 10%

The development is likely to benefit Sudarshan Chemicals, which is the third largest pigments player in the world and one of the biggest competitors of Heubach Colorants India, said Centrum Broking

SpiceJet's Ajay Singh, Busy Bee raise bid for Go First to Rs 1,800 crore

The Ajay Singh-Nishant Pitti consortium has also proposed to increase its upfront payment to around Rs 500 crore, from around Rs 290 crore earlier, said a source.

Why it is difficult to revive airlines in India? What stands in the way of Go First's and Jet Airways' revival?

Airlines in India have to deal with various costs such as high jet fuel prices, high leasing costs, (Indian airlines pay annual lease rents of about Rs 10,000 crores to lessors) and several charges to airport operators, such as separate charges for landing, route navigation, parking, terminal, fuel, and royalty.