Corporate Turnaround: Key Insights from the Corporate Affairs Secretary

Deepti Gaur Mukerjee, the Corporate Affairs Secretary, highlights the vital role of insolvency professionals in corporate turnaround efforts. She emphasizes the need for integrity, independence, and professional competence while urging professionals to explore all avenues to prevent liquidation. With the IBC facilitating significant recoveries for creditors, Mukerjee's insights shed light on the importance of trust and ethical conduct in managing distressed companies. Discover more about the principles that guide insolvency professionals and the impact of their work on the economy.

By Narendra Chaudhary Jun 16, 2026, 17:53 IST

Importance of Corporate Turnaround

Deepti Gaur Mukerjee, the Corporate Affairs Secretary, emphasized the critical role of insolvency professionals in revitalizing distressed companies. She urged them to explore every possible option to avert liquidation and enhance stakeholder value. Speaking at a recent event, Mukerjee highlighted that maintaining professional integrity is paramount in this process.

She pointed out that the success of the Insolvency and Bankruptcy Code (IBC) largely depends on how effectively these professionals fulfill their responsibilities. 'You must pursue every avenue and engage with all potential resolution applicants to revive the company. It's not just about managing stress; it's about fighting for the survival of the distressed entity,' she stated.

Mukerjee also stressed that liquidation should only be considered as a last resort, as it leads to job losses, disrupted supply chains, and diminished economic value. She outlined three essential principles for insolvency professionals: integrity and objectivity, independence and impartiality, and professional competence.

'Trust is your most valuable asset. You will be entrusted with companies worth vast sums, impacting numerous lives and families,' she added. Recent data indicates that by March 2026, the IBC has successfully resolved 1,419 companies, recovering Rs 4.32 lakh crore for creditors, with a recovery rate of 30.6% of admitted claims. Notably, recovery rates soar to 94.6% of the fair value of companies at the time of admission, based on data from 1,298 companies.