Lastly, Section 29A prevents all promoters from submitting resolution plans.
But some restrictions are not helpful and prevent almost all companies in presenting resolution plan.
Such as, section 29A bars promoter who has had NPAs for over a year, or who’s had a personal guarantee that has been invoked from submitting resolution plans.
There is relaxation for MSMEs to have greater flexibility and it can be considered to lay the floor open to a larger number of resolution plans.
Allowing certain relaxations to Section 29A could be helpful.
