The Insolvency and Bankruptcy Board of India (IBBI) has adapted itself to the new environment in the wake of the coronavirus pandemic and will strive to provide a ‘malleable regulatory framework’ within the confines of the insolvency law, according to its Chairperson M.S. Sahoo.
A key institution in implementing the Insolvency and Bankruptcy Code (IBC), the IBBI has moved to the electronic mode for most of its engagements with stakeholders and has recalibrated important regulations.
Mr. Sahoo emphasized that the IBBI would remain vigilant and prepared to take on the challenges and adapt to the requirements of the emerging scenario.“It will strive to provide a malleable regulatory framework within the confines of the Code, build the capacity of insolvency professionals and other constituents, and promote best practices.
The government has taken various measures to help companies deal with business headwinds due to the pandemic disrupting economic activities. One of the steps was to suspend fresh proceedings under the IBC and the same has been extended till March this year. "Facilitating the implementation of special insolvency framework for MSMEs (micro, small and medium enterprises), pre-pack, cross border insolvency, group insolvency, fresh start process in sync with policy developments in this regard will be on its agenda," Sahoo said.
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