Same to same, as we say in India.

The new Bankruptcy Act will administer "A blow against the promoter raj", wrote M Chakravarty. A promoter is one who holds 10% or more shares in a company and, in India, the big promoters are usually families. Promoters got round this rule by 'pledging' their shares, which means they would offer all or some of their shareholdings as collateral to borrow money, mostly from banks, while continuing to run the company. They could then plunder the company at will, until it turned sick, leaving banks holding a lot of useless paper. No longer. Under the new Act, if any company defaults on its loans banks will take over control of the company and sell it off. Promoters will not be allowed to bid. "In essence, what the new rules do is tell company owners that they must either perform or perish and if you've defaulted for reasons beyond your control, tough luck." If promoters are not allowed to bid others will bid much less, hoping to pick up valuable assets cheaply and banks will have to suffer a much larger haircut, wrote A Mukherjee. Allowing promoters to buy back their companies at lower valuations would open the government to a charge of crony capitalism, so this is a political decision which allows others to gain control of valuable assets at the cost of banks, wrote R Krishnan. This is an unforgiving political decision which punishes honest businessmen whose companies ran into problems because of economic reasons, and not because of criminal behavior, wrote S Ghosh. But it had to be done. Why? Because, "haven't farmers been driven to suicide because they have been unable to repay bank loans? Does the bank refrain from enforcing a mortgage because the the home loan borrower has lost his job?" It may seem odd that a promoter of a bankrupt company has the money to bid for it but Indian promoters are "adept at squirreling away money" and "using complicated group holdings and privately held corporations" to get round the law, wrote M Sharma. The previous Congress-led government was responsible for the huge rise in bad loans as it undertook enormous infrastructure projects, many of which could not be completed, wrote TK Arun. Promoters inflated costs and took huge loans from banks to reduce their own investment, and shared the spoils with politicians. Instead of selling assets at giveaway rates allow public sector companies to take over companies in their sector, such as SAIL can take over steel companies and NTPC can take over power companies. Sadly, people will lose jobs as new owners look to restructure failed companies, wrote S Das. So is the problem solved forever? Hardly. In a sleight of hand the Life Insurance Corporation is being forced to finance Indian Railways. Hope this is not to finance the 'Bullet Train' at the cost of the rest of the nation. They are all the same, aren't they?