Pre-Packaged Insolvency Resolution Process
On April 5, 2021, the President of India promulgated the Insolvency and Bankruptcy Code (Amendment) Ordinance, 2021 (the “Ordinance”) amending the Insolvency and Bankruptcy Code, 2016 (“IBC”). The Ordinance has brought in several amendments including a new chapter on pre-packaged insolvency resolution process (“Pre-Pack Process”).
Section 10A of the IBC had suspended the initiation of corporate insolvency resolution process (“CIRP”) in respect of defaults during the period of 1 (one) year beginning from March 25, 2020 under Sections 7, 9 and 10 of the IBC (“Suspension Period”).
For an insight into the key features, please refer to the below document.