New Delhi: On Friday, the Supreme Court upheld the constitutional validity of the Insolvency and Bankruptcy Code (IBC).
A batch of petitions challenging the code was dismissed by a bench of Justices Rohinton Nariman and Navin Sinha.
The apex court was hearing a batch of petitions challenging the code on the grounds that it discriminates against operational creditors and their interests as against the financial creditors.
The IBC which was passed in 2016 consolidates and amends the laws relating to reorganisation and insolvency resolution of corporate persons, partnership firms and individuals in a time bound manner for maximization of the value of assets of such persons, to promote entrepreneurship, availability of credit and balance the interests of all the stakeholders.