IBBI Notifies Voluntary Liquidation Process Amendment Regulations, 2022

The Insolvency and Bankruptcy Board of India vide Notification No. F. No. IBBI/2022-23/GN/REG.081 dated 05.04.2022, Notifies Voluntary Liquidation Process Amendment Regulations, 2022.

Text of the Notification is Given Below:

F. No. IBBI/2022-23/GN/REG.081.—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 (Voluntary Liquidation Process) Regulations, 2017, namely: –

1. (1) These Regulations may be called the Insolvency and Bankruptcy Board of India (Voluntary Liquidation Process) (Amendment) Regulations, 2022.

(2) They shall come into force on the date of their publication in the Official Gazette.

2. In the Insolvency and Bankruptcy Board of India (Voluntary Liquidation Process) Regulations, 2017 (hereinafter referred to as the principal regulations‘), in regulation 2, in sub-regulation (1), in clause (c), for the figure and brackets “3(4)”, the figure and brackets “3(3)” shall be substituted.

3. In the principal regulations, in regulation 5, in sub-regulation (2), for the word “three”, the word “seven” shall be substituted.

4. In the principal regulations, in regulation 10, in sub-regulation (2) and clause (r) of sub-regulation (2), for the words “corporate debtor”, the words “corporate person” shall be substituted.

5. In the principal regulations, in regulation 30, after sub-regulation (2), the following proviso shall be inserted, namely: –

“Provided that where no claim from creditors has been received till the last date for receipt of claims, the liquidator shall prepare the list of stakeholders within fifteen days from the last date for receipt of claims”

6. In the principal regulations, in regulation 35, in sub-regulation (1), for the words “six months”, the words “thirty days” shall be substituted.

7. In the principal regulations, in regulation 37, for sub-regulation (1), the following sub-regulation shall be substituted, namely: –

“(1) The liquidator shall endeavor to complete the liquidation process of the corporate person and submit the Final Report under regulation 38 within: –

(a) two hundred and seventy days from the liquidation commencement date where the creditors have approved the resolution under clause (c) of sub-section (3) of section 59 or clause (c) of sub-regulation (1) of regulation 3, and

(b) ninety days from the liquidation commencement date in all other cases.”

8. In the principal regulations, in regulation 38, for the sub-regulation (3), the following sub-regulation shall be substituted, namely: –

“(3) The liquidator shall submit the Final Report and the compliance certificate in Form H along with the application under sub-section (7) of section 59 to the Adjudicating Authority.”

9. In the principal regulations, in regulation 39, in sub-regulation (7), for the word and letter “Form-H”, the word, and the letter “Form-I” shall be substituted.

10. In the principal regulations, in Schedule I, for the word and letter “Form-H”, the word, and letter “Form-I” shall be substituted.

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