The President of India has approved the Insolvency and Bankruptcy Code (Amendment) Act, 2026 set to bring in significant changes to the insolvency regulations to improve processing efficiency and reduce hurdles.
The changes include timelines for insolvency process applications, approval and implementation of resolution plans and the liquidation process. The amendment has yet to take effect and the government will issue a notification later when different provisions will be enforced.
The adjudicating authority has 14 days to admit or reject an application to initiate the corporate insolvency resolution process (CIRP), and the applicant has an opportunity to make any required corrections seven days after receiving…