{"id":32235,"date":"2018-10-29T13:11:03","date_gmt":"2018-10-29T07:41:03","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=32235"},"modified":"2018-10-29T13:11:03","modified_gmt":"2018-10-29T07:41:03","slug":"on-way-to-insolvency-firms-scout-for-fronts","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/on-way-to-insolvency-firms-scout-for-fronts\/","title":{"rendered":"On way to insolvency, firms scout for fronts"},"content":{"rendered":"<p><a href=\"http:\/\/www.thehindu.com\/business\/Economy\/on-way-to-insolvency-firms-scout-for-fronts\/article22391879.ece\"><strong>On way to insolvency, firms scout for fronts<\/strong><\/a><\/p>\n<p><strong>Context<\/strong><\/p>\n<p>A number of insolvency-bound companies, reeling under huge unserved loans, are scouting for front entities to buy them out in a distress sale under an \u2019asset reconstruction\u2019 model with the help of \u2018friendly\u2019 IRPs, but have landed themselves under the regulatory scanner<\/p>\n<p><strong>\u2018ARC start-ups\u2019<\/strong><\/p>\n<p>According to top regulatory officials, some of these firms are approaching senior NBFC executives, with a good reputation in the market, with a novel idea of setting up their own \u2018asset reconstruction (ARC) start-ups\u2019 and then bidding for the assets being sold under the insolvency process.<\/p>\n<p><strong>Friendly IRPs<\/strong><\/p>\n<p>They are also trying to rope in some \u2018friendly\u2019 IRPs (Insolvency Resolution Professionals) to help achieve their motive of a \u2018front entity\u2019 acquiring the assets on sale, but the regulators and the government agencies have got a whiff of the whole design, including with the help of some whistle-blowers, a senior official said.<\/p>\n<p><strong>Steel, power, textile sectors under scanner<\/strong><\/p>\n<p>The companies which are currently under the scanner include those from the steel, power and textile sectors, the official said, but refused to divulge the names as an investigation is currently underway<\/p>\n","protected":false},"excerpt":{"rendered":"<p>On way to insolvency, firms scout for fronts Context A number of insolvency-bound companies, reeling under huge unserved loans, are scouting for front entities to buy them out in a distress sale under an \u2019asset reconstruction\u2019 model with the help of \u2018friendly\u2019 IRPs, but have landed themselves under the regulatory scanner \u2018ARC start-ups\u2019 According to&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/on-way-to-insolvency-firms-scout-for-fronts\/\">Continue reading <span class=\"screen-reader-text\">On way to insolvency, firms scout for fronts<\/span><\/a><\/p>\n","protected":false},"author":61,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[555],"tags":[],"class_list":["post-32235","post","type-post","status-publish","format-standard","hentry","category-test-1","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":"","cached_date":1704540172},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/32235","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=32235"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/32235\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=32235"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=32235"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=32235"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}