Insolvency resolution process for corporate persons- Notification
Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Amendment) Regulations, 2021.
No. IBBI/2020-21/GN/REG070.—In exercise of the powers conferred by clause (t) of sub-section (1) of section 196 read with section 240 of the Insolvency and Bankruptcy Code, 2016 (31 of 2016), the Insolvency and Bankruptcy Board of India hereby makes the following regulations further to amend the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016, namely: –
- (1) These regulations may be called the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process
for Corporate Persons) (Amendment) Regulations, 2021.
(2) They shall come into force on the date of their publication in the Official Gazette. - In the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 (hereinafter referred to as the principal regulations), after regulation 12, the following regulation shall be inserted, namely: –
“12A. Updation of claim.
A creditor shall update its claim as and when the claim is satisfied, partly or fully, from any source in any manner,
after the insolvency commencement date.” - In the principal regulations, in regulation 40B, after sub-regulation (1), the following sub-regulation shall be
inserted, namely: –
“(1A) Where any activity stated in column (2) of table below is not complete by the date specified therein, the interim resolution professional or resolution professional, as the case may be, shall file Form CIRP 7 within three days of the said date, and continue to file Form CIRP 7, every 30 days, until the said activity remains incomplete-:
T = Insolvency commencement date, and
X = Date of filing of Form CIRP 7 for the first time under column (3).
Provided that subsequent filing of Form CIRP 7 shall not be made until thirty days have lapsed from the filing of an earlier Form CIRP 7.
Clarification: Only one Form CIRP 7 shall be filed at any time whether one or more activity is not complete by the
specified date.
Illustration
(a) If public announcement is not made by T+3rd day, Form CIRP 7 shall be filed by T+6th day.
Thereafter, if public announcement is made on T+16th day, no further Form CIRP 7 will be filed. However, if public announcement is not made till T+33rd day, Form CIRP 7 shall be filed on T+36th day.
(b) If public announcement is not made by T+3rd day, Form CIRP 7 shall be filed by T+6th day.
Thereafter, if public announcement is made on T+16th day, no further Form CIRP 7 will be filed. However, if RP is not appointed by T+30th day, though Form CIRP 7 becomes due by T+33rd day, it shall be filed on 30th day from the filing of first Form CIRP 7, that is, on T+36th day.
(c) If public announcement is not made by T+3rd day, Form CIRP 7 shall be filed by T+6th day.
Thereafter, if either public announcement is not made till T+33rd day or RP is not appointed by T+30th day, Form CIRP 7 shall be filed on T+36th day.”
- In the Schedule to the principal regulations, Form C shall be substituted with the following:
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