The Union Cabinet has approved a bill seeking to amend the debt recovery laws with an overall objective of improving the ease of doing business.
• Cabinet approves ex facto 'The Enforcement of Security Interest and Recovery of Debts Laws and Miscellaneous Provisions Bill, 2016.
• The bill aims to improve ease of doing business, facilitate investment leading to higher economic growth and development, it added.
• Introduced in Lok Sabha last month, the bill seeks to amend four legislations — Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest (Sarfaesi) Act, 2002, the Recovery of Debts due to Banks and Financial Institutions Act, 1993, the Indian Stamp Act, 1899 and the Depositories Act, 1996.
• A parliamentary joint committee has invited views and suggestions from various stakeholders and public on the provisions of the bill by June 22.
• Around 70,000 cases are pending in debt recovery tribunals (DRT) and the proposed amendments would facilitate expeditious disposal of recovery applications