IBC Amendment Bill 2025: Select Committee Review and Reforms
Why in the news
A select committee of the Lok Sabha studied a bill to overhaul the Insolvency and Bankruptcy Code, 2016.
Key provisions
| Proposal | Aim |
|---|---|
| Faster tribunal admissions | Speed up cases |
| Creditor-led, mostly out-of-court scheme | Quick turnaround |
| Group insolvency | Handle several firms of one group together |
| Cross-border regime | Manage international insolvencies |
Why needed
- Delays from a shortage of judges.
- Uncertain finality of resolution plans.
- Accountability concerns about insolvency professionals.
About the IBC, 2016
- One unified law replacing older ones on corporate and personal insolvency.
- Covers companies, LLPs, partnerships and individuals.
- Helps creditors recover dues while letting businesses revive.