AGENCY
new delhi, MAY 16
In the financial year 2024-25 (FY25), creditors recovered over ?67,000 crore from companies undergoing bankruptcy proceedings. This marked the highest-ever annual recovery under India’s Insolvency and Bankruptcy Code (IBC).
As per the data from the National Company Law Tribunal (NCLT), the amount represents a 42% jump from the ?47,206 crore resolved in the previous financial year.
This surge in recoveries comes alongside a record 284 corporate resolutions approved by the NCLT between April 2024 and March 2025, surpassing the 275 cases resolved the year before, the data said.
The improvement is attributed to better streamlining of regulatory processes, which has enhanced the effectiveness of the IBC mechanism.
It said that of the total resolutions in FY25, 267 were corporate insolvency cases filed under Sections 7, 9, 10, and 54(C) of the IBC, while 17 involved personal insolvency matters under Sections 94 and 95.
These led to recoveries of ?67,081 crore and ?95 crore, respectively. The previous year saw 268 corporate resolutions and seven personal cases, yielding a total recovery of ?47,206 crore.
The number of new insolvency admissions also increased slightly to 1,346 cases in FY25, compared to 1,318 in FY24. Personal insolvency applications under Sections 94 and 95 nearly doubled to 673.
