NPA Finance

Core Services of NPA Finance Consultancy in India:

1. NPA Account Resolution & Recovery

• One-Time Settlement (OTS) structuring and negotiation
• Restructuring debt under RBI norms (like 5:25, SDR, S4A schemes)
• Revival strategies for sick units
• Facilitating compromise settlements between borrowers and lenders
• Direct negotiation with banks, NBFCs, and ARCs

2. Insolvency & Bankruptcy Advisory (IBC)

• Assisting in filing under IBC at NCLT
• Representation of creditor or debtor side
• Drafting Resolution Plans for Corporate Insolvency Resolution Process (CIRP)
• Liaising with Insolvency Professionals (IPs), RP, CoC

3. Asset Sale & Auction Services

• Facilitating distressed asset sales through:
  • SARFAESI auctions
  • Private treaty sales
  • ARC and bank e-auction platforms (like MSTC)
• Asset valuation and due diligence

4. Investor and ARC Transaction Support

• Connect borrowers with Asset Reconstruction Companies (ARCs)
• Portfolio sale or debt assignment
• Drafting agreements for ARC transactions (SR issuance, trust structure, etc.)

5. Loan Syndication for Stressed Assets

• Raising fresh finance for distressed borrowers
• Bridge finance or last-mile funding
• Funding under special situations (priority lending or AIFs)

6. Legal and Compliance Advisory

• Handling matters under:
• Handling matters under:
  • SARFAESI Act
  • DRT (Debt Recovery Tribunal)
  • DRAT
  • NCLT / NCLAT
• Support in filing appeals, stay orders, and injunctions
• Drafting replies to recovery notices under RBI/NCLT/DRT guidelines

7. Due Diligence and Forensic Audits

• Forensic audits in NPAs and stressed accounts
• Legal due diligence for asset-backed loans
• Assessment of promoter background and related-party transactions

8. Consulting for Banks & NBFCs

• Portfolio analysis for NPAs and stressed assets
• Suggesting debt recovery strategies and turnaround mechanisms
• Creating asset quality reports and borrower risk profiling

Types of Clients Served

• Borrowers with NPA classification
• MSMEs or corporates in financial distress
• Banks & NBFCs with large stressed asset books
• ARCs (Asset Reconstruction Companies)
• Investors or funds buying distressed debt
• Insolvency Professionals (IPs)

Regulatory Framework Referenced

• RBI Prudential Framework for Resolution of Stressed Assets (June 7, 2019)
• SARFAESI Act, 2002
• Insolvency & Bankruptcy Code (IBC), 2016
• RBI’s Income Recognition and Asset Classification (IRAC) norms
• RBI OTS and Compromise Settlement Guidelines (2023)