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first_imgWhen Jaitley moved the motion in the Rajya Sabha, When Jaitley moved the motion in the Rajya Sabha, Congress leader Jairam Ramesh raised the objection and sought to know why the Bill is being referred to the Joint Committee bypassing the Parliamentary Standing Committee. To this, Jaitley said, “This Bill is an offshoot of the Insolvency and Bankruptcy Code, which the Joint Committee had examined. It was appropriate that the same committee examines this Bill also.” He also said that even the CAMPA Afforestation Fund, which was examined by the Parliamentary Standing panel, was later referred to the committee. The Bill proposes to amend provisions in Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002; the Indian Stamp Act, 1899 and the Depositories Act, 1996. “The Bill aims to improve ease of doing business and facilitate investment leading to higher economic growth and development,” the government said. With respect to the Securities and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, amendments have been proposed to suit changing credit landscape and augment ease of doing business. These include specific timeline for taking possession of secured assets, debenture trustees as secured creditors as well as integration of “registration systems under different laws relating to property rights with the Central Registry so as to create a central database of security interest on property rights”. Further, the Bill seeks to “amend the Indian Stamp Act, 1899, so as to exempt assignment of loans in favour of asset reconstruction companies from stamp duty and the Depositories Act, 1996 for facilitating transfer of shares held in pledge or on conversion of debt into shares in favour of banks and financial institutions”. PTI LUX RAM SPG AKKadvertisementlast_img read more