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 has amended the Insolvency and Bankruptcy Board of India (Voluntary Liquidation Process) Regulations, 2017 by Insolvency and Bankruptcy Board of India (Voluntary Liquidation Process) (Second Amendment) Regulations, 2020.
What does this amendment say?
As per the amendment, for initiating voluntary liquidation process the corporate person may replace the liquidator by appointing another insolvency professional as liquidator by a resolution of members or partners, or contributories, as the case may be.
- Earlier, to conduct the voluntary liquidation process the corporate person appoints an insolvency professional. However, there can be situations which may require the appointment of another resolution professional as the liquidator. Hence this amendment has been made.
Recent Related News:
On June 12, 2020, In pursuance of regulation 3 of the Insolvency and Bankruptcy Board of India (IBBI) advisory committee regulation 2017, the IBBI board has restructured an advisory committee on Corporate Insolvency Resolution and Liquidation process by including four new members. The new 14 member committee will be chaired by Uday Kotak, the Executive Vice Chairman and Managing Director of Kotak Mahindra Bank.
It is the regulator for overseeing insolvency proceedings and entities like Insolvency Professional Agencies (IPA), Insolvency Professionals (IP) and Information Utilities (IU) in India.
Chairperson– MS Sahoo
Headquarter– New Delhi