The Insolvency and Bankruptcy Code, 2016, came into effect in August 2016 but for Part III of the Code that related to insolvency and bankruptcy of individuals including personal guarantors to the corporate debtor. In November 2019, the government notified that Part III of the Code would come into effect from 1 December 2019. Before this notification, there were a series of different and conflicting views by tribunals; this notification was challenged before various High Courts that led to a rather anomalous situation. It is finally in Lalit Kumar Jain v. Union of India that the Supreme Court transferred all the cases to itself in order to avoid these conflicting views and put this issue to rest finally. The court has held that the not…
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