Seminar on insolvency law from July 8

KATHMANDU, July 2:

Nepal Insolvency Practitioners´ Association (NIPA) in association with Nepal Rastra Bank (NRB) is organizing a two-day seminar on ´Insolvency Law: Local Issues, Global Views” in a bid to discuss the country´s insolvency law.

According to the organizers, the seminar, which will begin in Kathmandu on July 8, will dwell on legal frameworks, international practices on the resolution of failing banks and financial institutions (BFIs) and insurance companies, liquidation, and the roles of various stakeholders in the insolvency process, among others.

“We have an insolvency law that deals with all types of companies. Since this law is for all the companies, the seminar will discuss on the insolvency of BFIs and insurance companies,” Sashin Joshi, president of NIPA, said at a press meet organized in Kathmandu on Wednesday. “The seminar will provide inputs to the regulators on the legal framework.”

Joshi said that the seminar´s outcomes would be more relevant as NRB is in the process of preparing ´Banking Resolution Framework´. “Various international experts and liquidators will present their experiences and ideas at the seminar which will be helpful for the regulators in developing laws, regulations and judicial/regulatory framework for troubled financial institutions in Nepal based on international best practices and experiences,” said Joshi, adding, “The seminar will also discuss on resolution of troubled BFIs through their revival rather than taking them to the liquidation.”

Former Supreme Court Justice Bharat Raj Upreti said the seminar would try to find ways on the resolution of BFIs and insurance companies which run into problem. “Despite loopholes, there are some provisions of insolvency regarding the BFIs. However, there is no law at all for the insurance companies and cooperatives. As these institutions mobilize huge public fund, there should be laws for them as well,” he said, adding, “The seminar would be instrumental in giving inputs to the concerned authority for framing the laws.”

According to the organizers, US Bankruptcy Judge James M Peck, Former Co-head of Goldman Sachs´ Restructuring Group James HM Sprayregen, PPB Advisory and INSOL International Vice-president and Treasurer Mark Robinson along with national experts, bankers and regulators will present their papers in the seminar.

Nepal Banking Institute is the co-organizer of the seminar.

Source: Republica