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Govt plans law for lenders to pursue defaulters abroad

The government has proposed changes to the bankruptcy legislation by adopting a global model law that will enable lenders to apply the insolvency law to defaulters’ assets lying overseas. These will include the offshore personal assets of the promoter if they have issued a personal guarantee. The changes would also allow execution of orders against defaulters by overseas courts that have adopted the model law.

The government has proposed changes to the bankruptcy legislation by adopting a global model law that will enable lenders to apply the insolvency law to defaulters’ assets lying overseas. These will include the offshore personal assets of the promoter if they have issued a personal guarantee. The changes would also allow execution of orders against defaulters by overseas courts that have adopted the model law. from Times of India https://ift.tt/3l94rJr

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