New Delhi, Oct 24 (PTI) Unsustainable debt is a symptom of fundamental issues in the business model of the company concerned, a senior SBI executive said on Saturday.

Arijit Basu, Managing Director of Commercial Clients Groups at State Bank of India (SBI), also said the Insolvency and Bankruptcy Code (IBC) has provided equal opportunity to corporate sector and banks.

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He was speaking at a two-day conference, organised by the Indian Institute of Insolvency Professionals of ICAI (IIIPI), that began on Saturday.

"Unsustainable debt is a symptom of fundamental issues in the business model of the concerned company.

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"In case if you don't have a viable resolution plan, we (banks) have a viable resolution plan under IBC," Basu said.

Insolvency and Bankruptcy Board of India (IBBI) Member Mukulita Vijaywargiya said the purpose of the Code is to change the behaviour of the corporate. "We have achieved much on this front despite the shortcomings," she added.

IIIPI Chairperson Ashok Haldia emphasised on strengthening the IBC to face new challenges.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)