Poor recovery in insolvency cases daunts lenders

New Delhi: Jaypee Infratech resolution under IBC has netted the highest realisation as a percentage of admitted claims at 88 per cent among the top ten cases. Jaypee Infratech insolvency commenced in 2017 and concluded in 2023 with the NCLT order gave a realisation of Rs20,363 crore.

In the list of top-10 companies on the basis of total admitted claims resolution plan approved till March 2023, Essar Steel resolution in 2017 and concluded in 2019 remains the highest at Rs42,231 crore or 77.40 per cent in terms of total realisation of the admitted claim, as per a compilation by IBC Laws.

Dewan Housing Finance resolution, which commenced in 2019 and concluded in 2021, had a realisation of Rs37,167 crore or 42.60 per cent of admitted claims. Bhushan Steel resolution, which commenced in 2017 and concluded in 2018, had a realisation of Rs36,771 crore or 63 per cent of admitted claims. Bhushan Power and Steel resolution, which commenced in 2017 and concluded in 2019, netted a realisation of Rs19,894 crore or 41 per cent of claims.

Aircel insolvency process started in 2018 and concluded in 2020 realised Rs 6,677 crore or only 18 per cent of the admitted claims. Electrosteel Steels resolution started in 2017 and concluded in 2018 gave a realisation of Rs5,320 crore or 38 per cent of the admitted claims.