Unlocking Creditor Recovery: A Comprehensive Evaluation of the Insolvency and

Bankruptcy Code (IBC) in India

Name: Varun Choraria

Department: B.Sc. Economics (Hons)
Roll Number (CIN): 21-300-4-03-0223
Semester: VI
Supervisor: Dr. Samrat Roy

SYNOPSIS
The Insolvency and Bankruptcy Code, 2016 (IBC) is a pivotal legislation in India, designed to
streamline insolvency proceedings and ensure time-bound, efficient resolution for insolvent
entities. This paper aims to explore and contribute to the evolving field of IBC, considering its
significant implications on the economy. The research motivation lies in the code's recent
enactment, providing an opportunity to understand its real-world impact. The IBC's
applicability across diverse sectors underscores the need for sector-specific analysis to tailor
its implementation. This research seeks to fill a gap by evaluating the IBC's success in
facilitating creditor recovery, an aspect often neglected in previous studies. Unlike existing
research, the focus here is on recovery outcomes rather than procedural efficiency. The
objectives include assessing recovery effectiveness, investigating key variables' impact on
outcomes, and employing regression analysis to model relationships statistically. By examining
recovery success across different company sizes and creditor categories, the study aims to
contribute valuable insights to existing knowledge. The methodology involves data collection
from relevant sources, including the National Company Law Tribunal and Insolvency and
Bankruptcy Board of India. Key variables influencing recovery will be identified, and
regression models, such as multiple linear or logistic regression, will be employed. Expected
outcomes encompass a comprehensive understanding of recovery success under the IBC,
insights into quantitative relationships through regression models, and evidence-based policy
recommendations to enhance recovery rates. The paper contributes to ongoing discussions on
IBC's effectiveness and serves as a reference point for necessary reforms in insolvency and
bankruptcy practices in India.

Keywords:
Insolvency and Bankruptcy Code, Creditor Recovery, Time-bound resolution, Investor
confidence, Recovery outcomes

JEL Classification:
K22, G33, G18, C13