India: Insolvency/Bankruptcy

The Insolvency and Bankruptcy Code, 2016 (“IBC”) was introduced as a path-breaking legislation to provide a time-bound and creditor-driven process for the resolution of corporate insolvency in India.

The Insolvency and Bankruptcy Code (“IBC”), enacted in 2016, has been a landmark reform in India’s insolvency regime. It sought to streamline the process of resolving distressed companies, reduce delays, and protect creditor rights. Over time, however, some structural and procedural shortcomings have surfaced delays in resolution, fragmentation in group insolvencies, weak cross-border mechanisms, and skewed rights among stakeholders.

One of the defining features of the Insolvency and Bankruptcy Code, 2016 ("IBC") is the moratorium under Section 14, which comes into effect upon admission of an application for initiation of the Corporate Insolvency Resolution Process (“CIRP”) for corporate persons. The moratorium serves as a statutory calm period, protecting the corporate debtor from enforcement actions while enabling the resolution professional to preserve the debtor's assets and maximise value.

The Insolvency and Bankruptcy Code (Amendment) Act, 2026 introduces transformative reforms to India's insolvency framework, particularly for real estate sector resolution. How do these legislative changes...

India's new Protection of Interests in Aircraft Objects Rules, 2026 mark a watershed moment in aviation finance, finally operationalizing the Cape Town Convention through a technology-driven framework...

The Supreme Court, in Anjani Technoplast Ltd. v. Shubh Gautam (2026 INSC 410) ('Anjani Technoplast'), has set aside the admission of a Section 7 petition filed by a decree holder against a solvent and functioning company. A Bench of P.S. Narasimha and Alok Aradhe, JJ. held that a decree holder who has the full machinery of civil execution available to him cannot invoke the insolvency jurisdiction as a substitute for execution proceedings.

The significance of the Tribunal’s view lies in its recognition that a charge need not always arise from a contractual security document or formal registration. A charge may also arise by operation of law, and where the statute itself creates such charge, the absence of registration in repositories cannot defeat the underlying substantive right.

In a recent pronouncement, the Chennai Bench of the National Company Law Appellate Tribunal, comprising Justice Sharad Kumar Sharma (Judicial Member) and Mr. Jatindranath Swain (Technical Member), dismissed a company...

The Supreme Court has drawn a critical distinction in insolvency proceedings between appeals that are merely defective and those that are fundamentally incompetent from inception. When a suspended director files an appeal in the name of a corporate debtor after commencement of CIRP, can such a filing be cured through amendment, or does it represent a void proceeding that cannot be salvaged even within the limitation period?