“There is a difference between the debt relief bill and the bill on discharge of debt.
We don’t know how to reconcile it with the law on bankruptcy.
I can’t say how many people are waiting to get it.
There are about 10,000 cases pending,” said Rajiv Shakuntala, who heads the law firm of Shakuntla & Co. in Jharkhand.
A bill to create a special category of insolvency case is awaiting the cabinet approval.
It is likely to include a section to address the bankruptcy cases.
“The new category of cases would allow them to seek relief from debt-ridden persons from any part of the country.
The government has already approved it.
It could be a major change in the law,” said Shukha, who has worked for over a decade as a bankruptcy lawyer in Jho Lowli.
A senior government official said the finance ministry was “looking at a variety of options”.
“The government has made some changes to the bankruptcy law and the finance minister is reviewing them and taking suggestions.
There is no official comment on the issue,” the official said.