Legal Era Nov 2017 | Page 78

78 What they Said Bahram Vakil Founding Partners, AZB & Partners Since its inception, almost a year ago, over 370 cases have been admitted under the Insolvency and Bankruptcy Code, 2016 (“Code”). In the first week of August, the National Company Law Tribunal bench at Hyderabad made history by passing the first-ever Insolvency Resolution Order and the first-ever Liquidation Order under the nascent Code. In this short timeframe, the Courts too (including the Supreme Court) have passed several very helpful judgments, especially in respect to the key definition of a “dispute” and the overriding status of the Code. Finally and most recently, in the case of Jaypee Infratech, the Supreme Court is attempting to strike a balance between protecting the interests of the homebuyers and upholding the validity of the Code. And this is just the beginning… picture abhi baki hai! The event was wonderful, high-profile speakers, high- profile audience, so this was definitely an event to be present at the very interesting start of the new insolvency regime. Well, I think, IBC is about 280 days in practice and it has to develop. I remember in Germany when we had the new Bankruptcy Code, it took a few years to be considered as a mature tool to restructure companies in trouble. So, it will take some time, but we’re very optimistic that this will be a true success for the Indian recovery and restructuring business. I absolutely foresee progress, but it will take some time for everybody to get used to it. In the end, however, this will be an overwhelming success for the whole atmosphere for restructuring and insolvency. This is very important, and I would like to congratulate our Indian friends to have been able to achieve it. Shailen Shah Deal Advisory, Restructuring & Insolvency, BSRR & Co N ovember 2017 | L egal E ra | www . legaleraonline . com Dr. Steffen Koch Partner, hww hermann wienberg wilhelm Lenders’ selection of IP should be based on the experience of the IP, his/her credibility and integrity, and his/her ability to mobilize resources. It shouldn’t necessarily be based on the ‘lowest bidder wins’ approach. A sub- optimal selection may lead to sub-optimal results. IP professionals should regularly communicate with creditors and update them on the work done, key progress achieved and efforts involved to avoid disputes later. IP professionals should maintain the balance between charging fair fees with risk associated with the engagement.