The Bill, initially referred to a Select Committee, has been introduced to amend the Insolvency and Bankruptcy Code 2016.
- The Amendment seeks to reduce delays, maximise value for all stakeholders, and introduce new provisions that follow global best practices for resolving insolvency.
- New Creditor-Initiated Insolvency Resolution Process (CIIRP): This replaces the largely underutilised “fast-track” process with an out-of-court initiation model.
Key Highlights of the Bill
- Group Insolvency Framework: Introduces a “voluntary group insolvency framework” to facilitate joint resolution of stressed entities within a domestic corporate group, recognizing their interconnected nature.
- Cross-Border Insolvency Framework: Proposes a…