Budget also proposes for speeding of voluntary closing of limited liability partnerships (LLPs).
The government will add more tribunals of the NCLT to improve recovery of stressed assets, Finance Minister Nirmala Sitharaman while presenting the Union Budget for 2024-25 on Tuesday.
The government will also set up an integrated platform, which will improve the outcome of the Insolvency & Bankruptcy Code (IBC), she said.
"Appropriate changes to IBC, reforms and strengthening of tribunals and appellate tribunals will be initiated to speed insolvency resolution," she said.
Besides "additional tribunals will be established. Of those, some would be notified to decide cases exclusively under the companies act".
IBC has resolved more than 1,000 companies resulting in direct recovery of Rs 3.3 lakh crore to the creditors, she said.
"In addition, 28,000 cases involving over Rs 10 lakh crore have been disposed of even prior to admission," said Sitharaman.
The government will also have an integrated technology platform for the IBC ecosystem.
"An integrated technology platform will be set up for improving the outcome of the IBC for achieving consistency, transparency, timely processing and better oversight for all stakeholders," she said.
Besides, the Budget also proposes for speeding of voluntary closing of limited liability partnerships (LLPs).
"The services of the centre for processing accelerated corporate exit will see pace. It will be extended for voluntary closure of LLPs to reduce the closure time," she said.
NCLT has benches in 15 cities with a principal bench in Delhi. Besides, it has an appellate tribunal NCLAT, which is having benches in Delhi and Chennai.
Both NCLT and NCLAT have been facing a resource crunch.
Besides, Sitharaman also said steps will be taken for strengthening of debt recovery tribunals.
More tribunals would be set up to speed up recovery, she added.
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