Supreme Court quashes RBI circular on insolvency issued last year
New Delhi: The Supreme Court Tuesday quashed the RBI circular of last year that pertains to the provisions for declaring a company bankrupt even on a one-day overdue.
The bench headed by Justice R F Nariman said: "We have declared the RBI circular ultra vires."
Reserve Bank of India's (RBI) had on February 12, 2018 issued a circular saying that lenders have to provide for resolution plan within 180 days in case of large account of Rs 2,000 crore and above.
It said that if a resolution was not found by August 27, Non Performing Asset (NPA) accounts should be sent to bankruptcy courts.
However, during the pendency of the matter, the apex court on September 11 last year asked banks to maintain status quo and not to initiate insolvency proceedings against loan defaulting companies.
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CM Stalin tenders resignation: DMK sources
Chennai (PTI): DMK President M K Stalin on Tuesday resigned as Tamil Nadu Chief Minister, party sources said.
The resignation letter has been forwarded to the office of the state Governor Rajendra Vishwanath Arlekar, the sources added. DMK was defeated in the April 23 Assembly polls by Vijay-led TVK.
DMK has won 59 seats in the 234-member strong TN Assembly and has emerged as the principal opposition party.
The AIADMK won 47 seats.
TVK has won 108 seats and it is the single largest party.
Stalin has said that the DMK would function as a robust opposition party.
