Petroleum assets leased out by a company undergoing insolvency proceedings will be exempt from moratorium under the Insolvency and Bankruptcy Code (IBC), the Ministry of Corporate Affairs (MCA) has notified.
The new provision is aimed at ensuring that national assets in the petroleum sector don't lie idle, a senior official said.
This would effectively mean that the petroleum ministry would be able to take back the possession of assets, such as oil wells, and give them to another party.
Supporting the move, a petroleum and natural gas ministry official said the government was working to further expand India's oil production at a time when global supplies continued to be increasingly stressed by geopolitics. "At such a juncture, it's not prudent to have oil wells fall inactive if any company goes into insolvency." Videocon Oil Ventures Limited, the oil and gas exploration company of Videocon, is one such company that went into insolvency in 2019. The corporate insolvency proceedings kicked off the moratorium on its oil basins.
This story is from the June 17, 2023 edition of Business Standard.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the June 17, 2023 edition of Business Standard.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
EVALUATING FUND PERFORMANCE Exit a fund only if underperformance persists for 8 quarters
During her annual portfolio review, Mignonne D'Souza (name changed on request), a 44-year-old content writer based in Mumbai, found that four of her seven mutual funds had outperformed, while three lagged behind their benchmarks. D'Souza is wondering if she should stick to these funds or exit them.
Zomato serves up mcap bigger than Tata Motors, Bajaj
Stock could be a 'potential doubler in three to four years'
'PARRVA' introduced for verification of risk-return metrics
In a bid to clamp down on individuals and entities making lofty return claims, the Securities and Exchange Board of India (Sebi) has introduced a \"Past Risk and Return Verification Agency\" (PaRRVA), which will be tasked to verify the risk-return metrics of services offered by investment advisors, research analysts (RAS), algorithmic trading platforms, and other such entities.
Regulator brings in new rule to address NFO mis-selling
The Securities and Exchange Board of India (Sebi) has introduced a new rule aimed at putting a stop to unnecessary portfolio churn by distributors to pocket higher commissions, amid rising asset mobilisation through the new fund offer (NFO) route.
Core acquisition adds to Metropolis' long-term growth plans
Metropolis Healthcare (MHL) has decided to acquire a 100 per cent stake in Gurgaon-based Core Diagnostics for ₹247 crore.
Euro Pratik eyes ₹700-1,000 cr public offer
Euro Pratik, a prominent player in the decorative wall panel industry, is set to file draft papers with the Securities and Exchange Board of India (Sebi) for an initial public offering (IPO) worth ₹700-1,000 crore, sources familiar with the matter said on Thursday.
Nifty may trade in 25K-28K range in 2025: Smallcase
The benchmark Nifty50 index may move in the range 25,000-28,000 next year, according to a survey conducted by Smallcase of 150 managers on its investment platform. The Nifty on Thursday closed at 23,951.
IKS Health surges 48% on debut
BOOSTER DOSE
Moderate return expectations for '25: HDFC Securities
Domestic brokerage HDFC Securities has told investors to moderate return expectations amidst elevated valuations.
Expensive valuations to keep mkts volatile
Domestic equities have seen selloff this week amid weakening rupee
