Insolvency And Bankruptcy Code

IBBI extends deadline to flag personal guarantor cases until year-end

Deadline for filing personal guarantor insolvency forms extended to December 31; penalties for delays to apply thereafter

IBC: The personal guarantee puzzle

The Subhash Chandra episode doesn't show that the Insolvency and Bankruptcy Code (IBC) has failed - but that there's a gap, when it comes to voting, which can be used by any promoter

When patience stops paying

The IBC's long wait is driving creditors elsewhere

IBBI seeks to boost safeguards in personal guarantor resolution process

Regulator IBBI has proposed changes to the norms governing the insolvency resolution process for personal guarantors to corporate debtors, including the exclusion of related parties of the guarantor from voting on the repayment plan. Besides, the watchdog plans to make valuation of a personal guarantor's assets mandatory during the resolution process, as well as put in place the framework for recording creditors' deliberations on the repayment plan. In the proposed amendments in the rules to strengthen safeguards in the insolvency resolution process for personal guarantors to the corporate debtors, IBBI has also called for identification and reporting of avoidance transactions (preferential, undervalued, fraudulent, and extortionate credit transactions) in the insolvency resolution process. The proposals come against the backdrop of the insolvency case involving Essel Group chairman Subhash Chandra, wherein under a settlement plan it was proposed that creditors could recover just ..

IBBI wants debt resolution professionals to guard against IBC abuse

IBBI directs Insolvency Professionals to conduct due diligence and report misuse of the IBC framework following a disciplinary crackdown on non-compliant administrators

What is a personal guarantee really worth?

Beyond the face value of the promise, recovery, incentives and the counterfactual matter

NCLT questions EY's 1% success fee, rejects insolvency plea against Mobase

Tribunal says EY's fee arrangement and its enforceability require examination beyond Section 9 proceedings; clarifies it made no finding of professional misconduct

Par panel suggests establishing dedicated NCLT benches for insolvency cases

A Parliamentary panel has suggested establishing dedicated benches or verticals for insolvency cases at the National Company Law Tribunal (NCLT) to expedite disposal of such matters as well as ensure that the tribunal gives equal attention for cases under the companies law. Apart from the principal bench and the New Delhi bench, NCLT has benches in Allahabad, Ahmedabad, Bengaluru, Chandigarh, Chennai, Cuttack, Hyderabad, Indore, Kolkata, Kochi, and Mumbai. The recommendations are part of a report prepared by the Department-Related Parliamentary Standing Committee on Personnel, Public Grievances, Law and Justice. The report on 'Review of Functioning of Tribunal System in the Country' was tabled in Parliament earlier this month. The panel said steadily expanding insolvency jurisdiction of the tribunal should not dilute its equally important responsibilities under the Companies Act, 2013, including matters relating to mergers and amalgamations, corporate governance, and protection of

NCLAT upholds 'clean slate' principle, rejects Sintex shareholder claim

The Insolvency Appellate Tribunal NCLAT has affirmed the "clean slate principle" under the Insolvency and Bankruptcy Code (IBC), which bars any attempt to reestablish pre-resolution shareholders' rights, and rejected the claims of a shareholder of Sintex Industries. A two-member NCLAT bench dismissed the appeal by a Kerala-based investor seeking around Rs 110 crore in compensation for 1,35,000 equity shares of Sintex Industries Ltd (SIL) that were extinguished under the company's insolvency resolution plan. The appellate tribunal ruled that shareholders, whose equity was extinguished under the company's insolvency resolution plan, cannot revive their rights through proceedings under the Companies Act after the bids have been approved and the resolution plan has attained finality with a new ownership. The National Company Law Appellate Tribunal (NCLAT) said Section 238 of the Insolvency & Bankruptcy Code (IBC) gives it primacy over all other laws, including the Companies Act, 2013,

Recovery for lenders from personal guarantors picks up: IBBI data

However, the dues recouped still remain minimal

How NCLT approved Subhash Chandra's ₹6.5 cr payout against ₹22,006 cr claims

Subhash Chandra's repayment plan was backed by creditors holding 80.81 per cent of voting value, despite objections from several banks and institutional lenders

NCLT clears Subhash Chandra's ₹6.5 cr payout against ₹22,006 cr claims

NCLT has approved Subhash Chandra's ₹6.5 crore repayment plan against ₹22,006.57 crore claims; the plan was backed by creditors holding 80.81 per cent of the voting share

NCLT admits Reliance Entertainment Studios to insolvency over ₹11.94 cr

Mumbai bench holds Rs 20 crore paid by Pen India towards film release as financial debt under IBC, imposes moratorium and appoints interim resolution professional

Govt to examine litigation funding for PUFE deals under insolvency regime

The MCA will study third-party litigation funding for PUFE transactions as funds worth over Rs 4.38 lakh crore remain locked in avoidance proceedings under the insolvency regime

NCLT defers SpiceJet insolvency orders after last-minute settlement

The tribunal expressed strong displeasure over the timing of the settlement after extensive hearings, saying considerable judicial time had already been spent on the petitions

Explained: Is the Insolvency and Bankruptcy Code losing its relevance?

Realisations through the IBC declined from around 190 per cent of liquidation value in the early years to 167 per cent in FY26

Best of BS Opinion: State reforms key to improve India's investment climate

From state-level investment reforms and food safety enforcement to next-generation FTAs, corporate living wills and a Tibetan memoir, here are today's top BS Opinion pieces

Corporate 'living wills' can make insolvency rescues more effective

The next frontier of insolvency reforms is preparing companies for distress before it strikes

MCA plans unified tech platform for India's insolvency framework

The Ministry of Corporate Affairs has sought stakeholder feedback on a proposed integrated digital platform to streamline insolvency processes and improve transparency under the IBC

NCLT clears 78 resolution plans involving ₹5,518 cr in June quarter

The National Company Law Tribunal (NCLT) approved 78 resolution plans involving a total amount of Rs 5,517.66 crore in the three months ended June. It also marked the "highest-ever first quarter performance in terms of approval of resolution plans since the enactment of the Insolvency and Bankruptcy Code, 2016 (IBC)," the tribunal said in a report. The IBC provides for time-bound and market-linked resolution of stressed assets and the final resolution is approved by the tribunal. In the June quarter, the tribunal cleared 78 resolution plans that involved a total amount of Rs 5,517.66 crore, the report said. Till June 30 this year, the tribunal has given its nod for 1,628 resolution plans, involving an aggregate approved value of over Rs 4.78 lakh crore. "As on June 30, 2026, 349 applications seeking approval of resolution plans continued to remain pending before different benches of the NCLT, while 38 matters had already been heard and reserved for orders," the report on its websi