The Bankruptcy Code -- which awaits the Parliament nod -- will have a big impact on the nature of corporate governance and capitalism in India, Jayant Sinha, Minister of State for Finance, has said.
This code will go a long way in strengthening creditors rights in India, Sinha said here at an international conference on corporate governance organised jointly by IICA and FICCI.
The Bankruptcy Code is expected to change the balance of power between the creditor and the company.
Indications are that the Modi-led Government would in the upcoming Budget session take steps to get the Bankruptcy Code passed by Parliament.
Speaking on the occasion, Prashant Saran, wholetime member, SEBI, said that corporate governance does not lie only on following the law, but should be seen as a way of survival and doing business.