Each lender shall ensure that it is represented at each meeting of the lenders by competent persons empowered to take decisions on the spot without deferring them for internal authorisation. The Indian Banks` Association (IBA) on Tuesday issued a revised draft inter-creditor agreement (ICA), in line with the Reserve Bank of India`s revised circular on the « Framework for Monitoring Resolutions of Stressed Assets », allowing bankers to start liquidating certain stressed accounts. In accordance with the Reserve Bank of India`s (RBI) Prudential Framework for Resolution of Stressed Assets, the Indian Banks` Association (IBA) has established a creditor agreement (ICA) containing details of lenders` meetings, voting matters, payments to divergent lenders and additional funds. The document also specifies that lenders whose credit facilities are not denominated in Indian rupees, but who wish to become parties to the agreement, must obtain the appropriate authorizations and authorizations from the relevant government authority, including the RBI. Or the lender could enter into any other agreement, including the refinancing of its loans through loans denominated in Indian rupees, based on what is necessary for the effective implementation of a resolution plan. The new agreement replaces the ICA for the resolution of stressed assets of 23 July 2018 and « could be accepted by lenders in each of the cases that need to be resolved through the implementation of a resolution plan in the prudential framework, with amendments/modifications, if any, as an addendum for a given case », indicates a letter from the IBA, accompanying the revised ICAO draft. Tailor your preferences and receive a personalized recommendation of stories based on your interest. On 12.2.2018, the Reserve Bank of India (RBI) issued a circular on the resolution of stressed assets – Revised Framework. The RBI indicated that, by order of 2.4.2019, the Supreme Court considered that this circular was not is, which made it necessary to issue a revised circular for a quick and effective resolution of stressed assets.
The RBI also announced: In this context, the RBI published, on 7.6.2019, a « Prudential Framework for Resolution of Stressed Assets » for the early settlement of stressed assets in a transparent and temporal manner, with lenders having all the necessary flexibility to design and implement resolution plans, while providing dissuasive incentives in the form of additional provisions for delays in the implementation of decommissioning The Committee on the Organisation of Time and the Organisation of Working Time was set up by the Commission. and to make it compulsory to sign an agreement between creditors providing for a majority decision by a majority of all lenders. . . .