{"id":30875,"date":"2026-01-04T12:23:13","date_gmt":"2026-01-04T06:53:13","guid":{"rendered":"https:\/\/carajput.com\/blog\/?p=30875"},"modified":"2026-01-04T12:24:30","modified_gmt":"2026-01-04T06:54:30","slug":"insolvency-bankruptcy-code-performance-as-of-sept-2025","status":"publish","type":"post","link":"https:\/\/carajput.com\/blog\/insolvency-bankruptcy-code-performance-as-of-sept-2025\/","title":{"rendered":"Insolvency &#038; Bankruptcy Code Performance (as of Sept 2025)"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_58 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Page Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69d619878318d\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #000000;color:#000000\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #000000;color:#000000\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69d619878318d\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/carajput.com\/blog\/insolvency-bankruptcy-code-performance-as-of-sept-2025\/#Creditors_Recover_INR_4_Lakh_Cr_Under_IBC_Performance_Till_Sept_2025\" title=\"Creditors Recover INR 4 Lakh Cr Under IBC Performance (Till Sept 2025)\">Creditors Recover INR 4 Lakh Cr Under IBC Performance (Till Sept 2025)<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/carajput.com\/blog\/insolvency-bankruptcy-code-performance-as-of-sept-2025\/#Recovery_vs_claims\" title=\"Recovery vs claims: \">Recovery vs claims: <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/carajput.com\/blog\/insolvency-bankruptcy-code-performance-as-of-sept-2025\/#Resolution_vs_Liquidation_Outcomes\" title=\"Resolution vs Liquidation Outcomes\">Resolution vs Liquidation Outcomes<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/carajput.com\/blog\/insolvency-bankruptcy-code-performance-as-of-sept-2025\/#CIRP_Statistics_Since_Dec_2016\" title=\"CIRP Statistics (Since Dec 2016): \">CIRP Statistics (Since Dec 2016): <\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><img loading=\"lazy\" decoding=\"async\" class=\"alignnone  wp-image-23532\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2022\/10\/Amends-in-IBC-Regulations-in-Liquidation-process.jpeg\" alt=\"Amends in IBC Regulations in Liquidation process\" width=\"879\" height=\"503\" \/><\/h2>\n<h2><span class=\"ez-toc-section\" id=\"Creditors_Recover_INR_4_Lakh_Cr_Under_IBC_Performance_Till_Sept_2025\"><\/span><span style=\"color: #000080;\"><strong>Creditors Recover INR 4 Lakh Cr Under IBC Performance (Till Sept 2025)<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>INR 3.99 lakh crore realised by creditors through resolution plans under the Insolvency &amp; Bankruptcy Code up to 30 September 2025. Recovery equals 170.1% of liquidation value &amp; 93.79% of fair value (in 1,177 cases where fair value was estimated).<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Recovery_vs_claims\"><\/span><span style=\"color: #000080;\"><strong>Recovery vs claims: <\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Creditors recovered 32.4% of admitted claims on average.<\/p>\n<ul>\n<li>Total CIRPs Initiated: 8,659<\/li>\n<li>Closed CIRPs: 6,761 (78.1% closure rate)<\/li>\n<li>Recoveries:\n<ul>\n<li>INR 3.99 lakh crore realised<\/li>\n<li>170.1% of liquidation value<\/li>\n<li>93.79% of fair value (in 1,177 cases)<\/li>\n<li>32.4% of admitted claims<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Resolution_vs_Liquidation_Outcomes\"><\/span><span style=\"color: #000080;\"><strong>Resolution vs Liquidation Outcomes<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"color: #000080;\"><strong>\u00a0Resolution Plans<\/strong><\/span><\/p>\n<ul>\n<li>Cases resolved: 1,300<\/li>\n<li>Average time taken: 603 days<\/li>\n<li>Process cost:\n<ul>\n<li>1.1% of liquidation value<\/li>\n<li>0.6% of resolution value<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>Liquidation Cases<\/strong><\/span><\/p>\n<ul>\n<li>CIRPs ending in liquidation: 2,896<\/li>\n<li>Final reports submitted: 1,529<\/li>\n<li>Outstanding claims: INR 4.44 lakh crore<\/li>\n<li>Asset value: Only INR 0.17 lakh crore<\/li>\n<li>Realisation: 90.7% of liquidation value<\/li>\n<li>Average time: 518 days<\/li>\n<\/ul>\n<p>While liquidation realises a high % of liquidation value, absolute recovery remains very low, highlighting asset erosion before insolvency admission.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"CIRP_Statistics_Since_Dec_2016\"><\/span><span style=\"color: #000080;\"><strong>CIRP Statistics (Since Dec 2016): <\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>This reinforces that resolution, not liquidation, remains the core objective of IBC.<\/p>\n<ul>\n<li>Total CIRPs initiated: 8,659<\/li>\n<li>CIRPs closed: 6,761 (\u2248 78.1%)<\/li>\n<li>Corporate debtors rescued:\n<ul>\n<li>187 during Apr\u2013Sep 2025<\/li>\n<li>3,865 cumulatively since inception<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>Sectoral Distribution<\/strong><\/span><\/p>\n<ul>\n<li>Manufacturing: 3,183<\/li>\n<li>Real Estate &amp; Business Activities: 1,903<\/li>\n<li>Construction: 1,052<\/li>\n<li>Other sectors include:\n<ul>\n<li>Wholesale &amp; retail trade<\/li>\n<li>Hotels &amp; restaurants<\/li>\n<li>Electricity &amp; utilities<\/li>\n<li>Transport, storage &amp; communication<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p>IBC continues to outperform liquidation benchmarks, validating its economic rationale. Timelines remain a concern (500\u2013600+ days vs statutory 330 days). High recovery multiples indicate value preservation through resolution, especially for lenders. Manufacturing and real estate continue to dominate stress cases, reflecting structural issues. Despite long timelines, IBC continues to outperform liquidation benchmarks, ensuring value preservation for creditors and reinforcing its role as a creditor-friendly framework.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Creditors Recover INR 4 Lakh Cr Under IBC Performance (Till Sept 2025) INR 3.99 lakh crore realised by creditors through resolution plans under the Insolvency &amp; Bankruptcy Code up to 30 September 2025. Recovery equals 170.1% of liquidation value &amp; 93.79% of fair value (in 1,177 cases where fair value was estimated). Recovery vs claims: &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10012],"tags":[2712],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/30875"}],"collection":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/comments?post=30875"}],"version-history":[{"count":2,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/30875\/revisions"}],"predecessor-version":[{"id":30877,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/30875\/revisions\/30877"}],"wp:attachment":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/media?parent=30875"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/categories?post=30875"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/tags?post=30875"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}