virtue of lending money by the creditors to the company, the company becomes debtor to the creditor and hence is under an … company after taking money from the creditors, vanished away without returning the due money to the creditor. Such activities … render loss to the creditor. In order to curb such activities as well as to protect the rights of the creditors, there are …

I study the relation between internal governance and creditor governance. A deterioration in creditor governance may … credit default swaps (CDS) as a negative shock to creditor governance. I provide evidence consistent with shareholders … pushing for a substitution effect between internal governance and creditor governance. Following CDS introduction, CDS firms …