President Recep Tayyip Erdogan says Turkey’s banks are “doing fine.” But as the lira spirals ever lower, debt investors are taking a less sanguine view. The bonds of three Turkish lenders are trading at distressed levels, which shows the deteriorating opinion of investors on the ability of the companies to repay their obligations, even though the banks remain profitable and highly capitalized, Bloomberg News reported.

The insolvency case of Era Infra Engineering, one of the 12 large loan default cases referred to National Company Law Tribunal (NCLT) for insolvency proceedings by Reserve Bank of India (RBI), is unlikely to see any resolution this year, say sources involved with the resolution process, Business Today reoprted. The Era Infra case was referred to NCLT in June 2017 with 11 other cases including the likes of Essar Steel, Bhushan Steel, Lanco Infratech and Jaypee Infra.

The National Company Law Appellate Tribunal (NCLAT) has set aside a plea challenging an NCLT order that rejected the petition to initiate insolvency proceedings against Tata Chemicals for claimed operational debt of Rs 68.44 crore, CNBC-TV18 reported. A three-member NCLAT bench upheld the order of the Mumbai bench of the National Company Law Tribunal (NCLT) that dismissed the plea of Allied Silica to initiate insolvency proceeding against the Tata group firm.

The Indian Supreme Court has asked, in a recent hearing, a question that does not appear to have occurred to India’s Department of Telecommunications (DoT): how does it plan to recover adjusted gross revenue (AGR)-related dues from telecom companies facing insolvency? In addition the court wants to ascertain the bona fides of the telecom companies that have initiated insolvency proceedings under the Insolvency and Bankruptcy Code (IBC) – that is, why some of these companies have done so and what their liabilities are, Developing Telecoms reported.

A one-time debt restructuring allowed by India’s central bank to help lenders and borrowers amid the COVID-19 pandemic will prolong uncertainty about the banking sector’s asset quality, Fitch Ratings said on Tuesday, Reuters reported. India’s central bank said last week it will allow restructuring of corporate and personal loans to ease debt strains on companies and lenders, a move widely awaited by the banking industry.

The Supreme Court on Monday asked Department of Telecom (DoT) to apprise it as how it plans to recover Adjusted Gross Revenue (AGR) related dues from telecom companies facing insolvency proceedings and whether spectrum given to these companies can be sold, Business Standard reported. DoT told the top court that their stand is that the spectrum cannot be sold by the telecom companies facing insolvency proceedings as it not their property.

The former head of China's securities regulator has raised concern about banks addressing funding shortages by ramping up issues of short-term interbank debt instruments that have in the past attracted regulatory scrutiny, the International New York Times reported on a Reuters story. Xiao Gang, former chairman of the China Securities Regulatory Commission, said that against the background of a large increase in bank credit, banks faced an "arduous task" of making up for cash shortfalls for maturing old products.

Pre-dominance of cash transactions, independence of directors and frequent changes of auditors are among the potential red flags for insolvency professionals in detecting avoidance transactions during insolvency proceedings, according to an IBBI document, ETRealty reported. Under the Insolvency and Bankruptcy Code, resolution professionals and liquidators are required to determine whether corporate debtors concerned were subject to avoidance transactions. The Code provides for a time-bound and market-linked resolution of stressed assets.

Australian companies are likely to deliver smaller dividends in what is forecast to be the country’s worst earnings season in a decade because of the coronavirus pandemic, with even firms that benefited from the upheaval expected to show caution, Reuters reported. Fund managers and analysts expect the corporate results season that begins this week to reveal an overall decline in profits of around one-fifth due to the abrupt shutdowns that followed the virus outbreak.

The National Company Law Appellate Tribunal (NCLAT) has upheld an NCLT order setting aside a plea to initiate insolvency proceedings against Gujarat Ambuja Exports Ltd, Business Standard reported. A three-member NCLAT bench upheld the order of the Ahmedabad bench of the National Company Law Tribunal (NCLT), which had set aside the plea of Samay Impex, an operational creditor of Gujarat Ambuja Exports Ltd (GAEL).