NEW DELHI : Finance minister Nirmala Sitharaman said on Monday that the suspension of fresh bankruptcy proceedings against companies for defaults during the pandemic has been extended to a full year.The ban on creditors to initiate bankruptcy action against companies for defaults was initially suspended for six months from 25 March, which was later extended by another three months ending 24 December.
It has been decided to extend this for a full year.Sitharaman told business representatives at an interaction with Bangalore Chamber of Industry and Commerce that the government extended various deadlines and eased compliance requirements to ensure companies were not stressed out during the pandemic.“Even suspension of IBC has been extended.