The Deputy Governor of the Reserve Bank of India, M Rajeshwar Rao, has emphasized the need for a code of conduct for the Committee of Creditors (CoC) involved in the insolvency resolution process.
Rao highlighted the significance of the CoC in implementing the corporate insolvency resolution process under the Insolvency and Bankruptcy Code (IBC). While the IBC has made progress as a recovery and resolution mechanism, there are areas where the CoC's performance has been lacking.
Improvements are necessary to enhance the effectiveness of the CoC in managing insolvency cases.