IMPROVING THE FINANCIAL SITUATION OF COMPANIES DURING SUSPENSION OF BANKRUPTCY PROCESS

Abstract

Suspension of bankruptcy is a process regulated by Turkish Code of Commerce (TCC) (Article 324) and Bankruptcy and Enforcement Law (BEL) (Article 179), which enables deeply indebted corporations and cooperatives to finalize this period positively. In order for a company to request suspension of bankruptcy, it should be deeply indebted and the improvement project presented to the court for restoring the financial situation should be robust and credible. In this study, the concept of suspension of bankruptcy, legal nature, namely the place of suspension of bankruptcy in the regulations (in TCC and BEL) are presented, and information on material conditions in order to be able to request of suspension of bankruptcy is given. The companies which should request suspension of bankruptcy are emphasized in detail, and finally, information about the improvement project for the financial situation of companies is presented