The Insolvency and Bankruptcy Code (IBC) is a game changer, but delay in decision-making is a cause for concern, Srei Infrastructure CEO Rakesh Bhutoria said on Saturday. Bhutoria, who is also CII sub-committee Chairman, was speaking at a conference on ‘Legal Dimension of Infrastructure Development’. “The process, which was supposed to ensure quick resolution is getting entangled in the legal system, leading to delay in decision making.
This is threatening the viability of many infrastructure projects in our country,” Bhutoria said. “The Indian judiciary should facilitate infrastructure development by providing speedy resolutions. Our country's economic progress hinges on this,” Bhutoria further said. Calcutta High Court Justice Soumen Sen said the concept of making mediation mandatory before proceeding to litigations has become an important alternative tool, for settling disputes for infrastructure projects.
Tax expert Narayan Jain talked about issues relating to ambiguity of taxation in the real estate sector. “The concept of single tax is not applicable in the sector. Buyers have to shell out the stamp duty, and no credit on input tax is available,” he added.