IBBI issues Insolvency and Bankruptcy Board of India (Liquidation Process) (Amendment) Regulations, 2021

IBBI issues Insolvency and Bankruptcy Board of India (Liquidation Process) (Amendment) Regulations, 2021

The Insolvency and Bankruptcy Board of India (IBBI) on 4 March 2021 has issued the Insolvency and Bankruptcy Board of India (Liquidation Process) (Amendment) Regulations, 2021 to further amend the Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016.

The Insolvency Board of India exercised its power conferred by Section 196(1)(t) read with Section 240 of the Insolvency and Bankruptcy Code, 2016 to further amend the Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016.

It shall come into force on the date of its publication in the Official Gazette. It provides that regulation 31(2) of the Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016 which deals with the filing of the list of stakeholders, has been substituted.

It is substituted with "the liquidator shall file the list of stakeholders with the Adjudicating Authority within forty-five days from the last date for receipt of the claims."

Regulation 31 (5)(d) is inserted that specifies the filing of a list of stakeholders. It provides that "Filed on the electronic platform of the Board for dissemination on its website."

It further adds a proviso stating that "This clause shall apply to every liquidation process ongoing and commencing on or after the date of commencement of the Insolvency and Bankruptcy Board of India (Liquidation Process) (Amendment) Regulations, 2021."