Govt Introduces IBC Amendment Bill To Cut Delay In Insolvency Process
Finance Minister Nirmala Sitharaman, while introducing the IBC Amendment Bill, said it aims to reduce delays, boost value, and improve governance.
The government on Tuesday introduced the Insolvency & Bankruptcy Amendment Bill in Lok Sabha, with reforms that are intended to speed up the insolvency process.
The reforms are related with group insolvency, credit-led resolution, and cross-border framework. The legislation proposes amendments in Section 7 of the current law, that deals with mandatory admission of insolvency if default confirmed and conditions met.
Finance Minister Nirmala Sitharaman, while introducing the bill, said it aims to reduce delays, boost value, and improve governance. The legislation has been sent to the select committee for review.
The government further noted that the legislation aligns with global best practices. It proposes out-of-court initiation for faster and cheaper insolvency.
The legislation would also ease judicial burden, promotes business ease, improves credit access.
(This is a developing story)
