Asia Pacific

Piramal Capital has withdrawn the insolvency proceedings against Reliance Power Ltd., The Statesman reported. Reliance Power, in a stock exchange disclosure, has informed that Piramal Capital and Housing Finance has withdrawn the application made against Reliance Power Ltd. under section 7 of the Insolvency and Bankruptcy Code 2016. This follows an out-of-court settlement between both the company’s Rs 526 crores loan default by Reliance Power and its subsidiary, Reliance Natural Resources Ltd. (RNRL). RNRL had in 2010 merged with Reliance Power. RNRL had defaulted on a loan of?

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India has asked state-owned firms to consider moving the country's insolvency court to shut loss-making units, hoping for speedier resolutions as the government looks to slim down its public sector holdings, Reuters reported. Public sector companies will have to file an insolvency application under the Insolvency and Bankruptcy Code (IBC) for the resolution of a loss-making unit within three months of approval from a committee comprising top cabinet ministers, according to guidelines released by the government on Monday.
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Li Lin, the founder of crypto exchange Huobi Global, is lending up to $14 million to a Hong Kong company he controls after FTX's sudden bankruptcy prevented the firm from accessing $18.1 million worth of cryptocurrencies. New Huo Technology, a digital-assets service platform that used to be called Huobi Technology, said on Monday that the amount includes $13.2 million in customers' assets and $4.9 million that belongs to one of its subsidiaries, the Wall Street Journal reported.
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The meltdown of FTX has triggered a chain reaction in Korea's cryptocurrency-linked stocks, which saw their values plummet on the first trading day after one of the world's largest crypto exchanges filed for bankruptcy, the Korea Times reported. Shares of Com2uS, a game developer which listed its C2X token on the exchange in March, suffered a double-digit decline on Monday, dipping to a new eight-year low. Com2uS shares closed Monday at 61,900 won, down 14.74 percent, from the previous trading day. Other crypto-related stocks in Korea also went on a losing streak on the same day.
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Japan’s economy, the world’s third largest, unexpectedly shrank in the three-month period from July to September, as a weak yen and high inflation eroded Japanese consumers’ buying power and sapped businesses’ strength, the New York Times reported. The economy contracted at an annualized rate of 1.2 percent during the third quarter, government data showed on Tuesday, ending nine months of growth and setting back the country’s recovery just as Japan was adjusting to life with looser coronavirus restrictions.
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Chinese consumer spending contracted in October and factory activity weakened as anti-virus controls following a rise in infections weighed on the economy, the Associated Press reported. Retail sales sank 0.5% compared with a year ago, down from September’s 2.5% expansion, as millions of people were confined to their homes, government data showed Tuesday. Growth in factory output decelerated to 5% from the previous month’s 6.3%. The performance was even weaker than expected by forecasters who said activity would cool as Chinese anti-virus controls and interest rate hikes by the U.S.
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Customers pulled funds from Crypto.com over the weekend after the company’s chief executive said the cryptocurrency exchange mishandled a roughly $400 million transaction, the Wall Street Journal reported. Crypto.com Chief Executive Kris Marszalek said on Twitter that the transfer was sent to the wrong type of account on another exchange. The transfer of a large chunk of ether, a popular cryptocurrency, took place on Oct. 21, but came to light after Twitter users flagged the transfer as unusual, based on publicly available blockchain transaction records.
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China gave embattled real-estate developers a boost Monday by allowing them access to more money held in pre-sale accounts, the biggest source of funds for the cash-strapped builders, Bloomberg News reported. China will give “quality” property developers access to as much as 30% of the pre-sale funds with letters of guarantee from banks, according to a statement posted on the banking and insurance regulator’s website. The funds are money that home buyers have paid to developers in advance of their property being built, and are generally held in an escrow account.
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The investigations into Florian Fritsch, one of the two executives seeking to get bankrupt Jet Airways India Ltd. back in the air through a bankruptcy process, will not affect the rescue plan for the airline, according to his firm, Bloomberg News reported. “These investigations have no impact on the acquisition of Jet Airways,” Kalrock Capital Partners, Fritsch’s investment company said in a statement. Neither Kalrock nor Jet Airways have connections with ongoing investigations or the charges, it said.
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Sri Lanka’s president on Monday proposed to more than double the country’s tax revenue as the island nation struggles to come out from its worst economic crisis, the Associated Press reported. Unsustainable debt, a severe balance of payment crisis on top of lingering scars of the COVID-19 pandemic have led to a severe shortage of essentials such as fuel, medicine and food, and the soaring prices have caused severe hardships to most Sri Lankans.
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