The government has put plans to introduce a cross-border insolvency framework and an out-of-court individual delinquency mechanism on the back burner, people familiar with the matter told ET.
These provisions won’t be part of the proposed amendments to the Insolvency and Bankruptcy Code (IBC) that the government intends to introduce this year, they said. However, both these frameworks could be explored at a later stage, based on fresh assessments of their necessity. “After extensive deliberations, it’s decided that the cross-border and individual insolvency frameworks would be taken up later when the time is right. The focus currently should be on how to speed up and improve upon the corporate insolvency resolution process,” said one of…
