INSUBCONTINENT EXCLUSIVE:
The Insolvency and Bankruptcy Board of India (IBBI) is a statutory body functioning under the corporate affairs ministry
Illustration2 min read Last Updated : Sep 26 2024 | 11:16 PM IST
The IBBI has amended the Insolvency Resolution Process for Corporate
Persons norms to introduce significant changes to enhance creditor representation in the insolvency process.
The board notified the
Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Second Amendment) Regulations 2024 on
September 24.Click here to connect with us on WhatsApp
"The amendment regulations provide for the appointment of an interim representative
who will act as a representative for a class of creditors during the period when the application for appointment of the authorised
will have the same rights and responsibilities as a duly appointed authorised representative, particularly in the meetings of the committee
of creditors.
This move is aimed at facilitating the effective representation of creditors that are large in number, such as homebuyers,
who often face delays and complications during the insolvency process.
The amended regulations are effective from September 24, the board
said.
The corporate insolvency resolution process (CIRP) has been a crucial mechanism under the Insolvency and Bankruptcy Code (IBC) for
resolving insolvency issues in India.
With these changes, IBBI has taken a proactive step to ensure that large creditor groups are not
left behind in the insolvency resolution process, maintaining the overall efficiency and fairness of the IBC framework.
The Insolvency and
Bankruptcy Board of India (IBBI) is a statutory body functioning under the corporate affairs ministry.(Only the headline and picture of this
report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)First
Published: Sep 26 2024 | 11:16 PMIST
