ISLAMABAD: The Senate on Tuesday passed the Corporate Rehabilitation Bill 2017 after a clause-by-clause reading.

The bill was tabled by Minister for Law and Justice Zahid Hamid.

The bill aims to provide for rehabilitation and reorganisation of distressed corporate entities.

According to statement of Objects and Reasons of the bill, the existing institutional arrangements and legal process for revival and rehabilitation of distressed companies is both inadequate and time consuming.

Efforts in the past have been made largely on creditor friendly recovery laws which resulted in imbalance of legal remedies for rehabilitation of debtors, it notes.

Therefore, a comprehensive legal framework is now urgently needed to rehabilitate the distressed companies and businesses in the country, it added.

Published in Dawn, September 13th, 2017