A Working Group was constituted by the Ministry of Corporate Affairs under the Chairmanship of Mr. N.K.Bhola, Regional Director (North), MCA with a mandate to deliberate and submit its recommendations on rules and regulations and other related matters for the insolvency and liquidation process under the Insolvency and Bankruptcy Code, 2016.
This Working Group had earlier developed draft regulations for Corporate Voluntary Liquidation Process. Based on these drafts and after considering public comments on the same and following the due process, the Insolvency and Bankruptcy Board of India (Board) has notified the Insolvency and Bankruptcy Board of India (Voluntary Liquidation Process) Regulations, 2017 on 31st March, 2017.
This Working Group has submitted the draft regulations for Fast Track Corporate Insolvency Resolution Process of Corporate Persons. LINK
These regulations shall apply to such Corporate Debtors with assets and income below a certain level or such class of creditors or such amount of debt or such categories of Corporate Persons, as may be notified by Central Government under section 55 (2) of the Insolvency and Bankruptcy Code.
Draft notification for eligible corporate debtors under Section 55 (2) of IBC, 2016 - LINK
The resolution process under Fast Track Regulations shall be completed within a period of 90 days from the insolvency commencement date and can be extended by 45 days with the permission of Adjudicating Authority under certain circumstances.
The Working Group has also recommended “Eligible Corporate Debtor” for the Fast Track Corporate Insolvency Resolution Process. It has been decided to to invite public comments on the draft regulations on 1) Fast Track Insolvency Resolution Process for Corporate persons and 2) for Eligible Corporate Debtor under Fast Track Insolvency Resolution Process. Accordingly, comments on each provision of the draft regulations are invited by 8th May, 2017.