The Ministry of Corporate Affairs vide notice dated 08th January, 2021 has Invited comments from public on Pre-packaged Insolvency Resolution Process under Insolvency and Bankruptcy Code, 2016. The sub-committee of the Insolvency Law Committee has recommended a regulatory framework for pre-pack insolvency resolution process. The efficacy of out-of-court workouts in delivering speedier resolutions provided regulators extend the same regulatory exemptions as available to settlements made under the IBC framework was considered and the committee suggested a Pre-packaged insolvency resolution process (PPIRP) which may be introduced under the Code with necessary checks and balances, as an option for resolving insolvency.
Suggestion/comments, if any, along with brief justification may be submitted online at the link by the end of business hours on 22nd January, 2021.
