All companies important for India, need solutions: Sitharaman

TIL Desk/Business/New Delhi/ Finance Minister Nirmala Sitharaman on Monday said that any company, whether it is big, medium small, micro or nano, is important for the country. Saying that “my friends are the companies”, she said under the Companies Act, even MSMEs are registered and anybody who is registered under this act and if, unfortunately, comes for a liquidation, has to have a solution.

“Your friend, my friend does not matter. All are friends of this country. Unless business is run by small, medium or big, that kind of a job which we are talking about will not happen. So, solution is required for everybody,” the Minister told the Lok Sabha while pushing for the passage of the Insolvency and Bankruptcy Code (Second Amendment) Bill, 2020.

The Bill, which was passed by the Rajya Sabha on Saturday, was later passed by the house. It seeks to amend the Insolvency and Bankruptcy Code, 2016 and replaces the Insolvency and Bankruptcy Code (Amendment) Ordinance, 2020 which was promulgated by the President on June 5 this year. The ordinance had prohibited the initiation of insolvency proceedings for defaults arising during the six months from March 25 this year (extendable up to one year).