{"id":731,"date":"2025-09-17T10:00:09","date_gmt":"2025-09-17T10:00:09","guid":{"rendered":"https:\/\/www.trevozo.com\/blog\/?p=731"},"modified":"2025-09-17T10:00:09","modified_gmt":"2025-09-17T10:00:09","slug":"introduction-to-the-insolvency-and-bankruptcy-code-2016","status":"publish","type":"post","link":"https:\/\/www.trevozo.com\/blog\/introduction-to-the-insolvency-and-bankruptcy-code-2016\/","title":{"rendered":"Introduction to the Insolvency and Bankruptcy Code 2016"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">The Insolvency and Bankruptcy Code 2016 was introduced as a comprehensive reform to address the growing issues of insolvency and bankruptcy in India. Before the implementation of this code, there were multiple overlapping laws governing insolvency matters, leading to confusion, delays, and inefficiency. Creditors often faced long legal battles to recover dues, while debtors had no streamlined system for resolving their financial distress. The introduction of this code brought clarity, speed, and uniformity to insolvency proceedings for individuals, companies, and partnership firms.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The code is not only about resolving insolvency; it is also about promoting responsible business practices, maintaining investor confidence, and ensuring that financially troubled entities are either revived or closed in a time-bound manner. It has been recognized as a landmark legislation in India\u2019s economic and legal landscape.<\/span><\/p>\n<p><b>The Need for a Unified Insolvency Framework<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Prior to the enactment of this code, insolvency cases were handled under various laws such as the Companies Act, the Sick Industrial Companies Act, and the Recovery of Debts Due to Banks and Financial Institutions Act. This fragmented framework meant that different authorities handled different cases, often with conflicting procedures and timelines.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This created significant challenges:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Cases would often drag on for years, eroding asset value.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Creditors had limited chances of recovery due to procedural delays.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Debtors lacked a clear and fair opportunity for revival.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The Insolvency and Bankruptcy Code addressed these issues by providing a single, consolidated framework that applied uniformly across individuals, partnership firms, and companies. This integration has greatly improved efficiency and transparency in the system.<\/span><\/p>\n<p><b>Key Objectives of the Code<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The primary goals of the Insolvency and Bankruptcy Code 2016 include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Providing a structured and time-bound process for resolving insolvency.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Maximizing the value of assets during resolution.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Balancing the interests of all stakeholders, including creditors and debtors.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Encouraging entrepreneurship by allowing a fair exit mechanism for failed businesses.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Improving the ease of doing business and boosting investor confidence in the Indian economy.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">These objectives are achieved through a mix of legal provisions, strict deadlines, and the involvement of licensed professionals to ensure impartial decision-making.<\/span><\/p>\n<p><b>Resolution of Insolvency<\/b><\/p>\n<p><span style=\"font-weight: 400;\">One of the most notable features of the code is the strict timeline for completing insolvency resolution. The process can be initiated by either a debtor or a creditor, and the resolution framework is slightly different for companies compared to smaller entities like start-ups or small businesses.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For companies, the resolution process must be completed within 180 days from the commencement date. If necessary, this period can be extended by an additional 90 days, but only if a significant majority of creditors approve the extension.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For start-ups, small businesses, and entities with assets worth less than \u20b91 crore, the resolution period is shorter\u201490 days\u2014with a possible extension of 45 days. This faster process helps smaller businesses resolve financial distress without prolonged uncertainty.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">These timelines are designed to prevent the long delays that were common under previous laws, ensuring that decisions are made while there is still value left in the business.<\/span><\/p>\n<p><b>Initiation of the Process<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The insolvency process begins when an application is filed by a financial creditor, operational creditor, or the debtor itself. This application is submitted to the relevant adjudicating authority, which varies depending on the nature of the debtor:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">For companies and limited liability partnerships, the National Company Law Tribunal (NCLT) handles the case.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">For individuals and partnership firms, the Debt Recovery Tribunal (DRT) has jurisdiction.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The adjudicating authority must decide within 14 days whether to admit or reject the application. This swift decision-making prevents unnecessary delays in initiating the resolution process.<\/span><\/p>\n<p><b>Regulatory Oversight<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The Insolvency and Bankruptcy Board of India (IBBI) is the main regulatory body overseeing the implementation of the code. It is responsible for registering and regulating insolvency professionals, insolvency professional agencies, and information utilities.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The board comprises ten members, including representatives from the Ministry of Finance, the Ministry of Law, and the Reserve Bank of India. This mix ensures a broad range of expertise in overseeing the insolvency framework.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The IBBI also issues regulations, monitors compliance, and takes disciplinary action against professionals or entities that violate the provisions of the code.<\/span><\/p>\n<p><b>Licensed Insolvency Professionals<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Insolvency professionals play a central role in the resolution process. Once the process begins, these licensed individuals take control of the debtor\u2019s assets and operations. They are responsible for managing the business during the resolution period, collecting claims from creditors, and preparing a resolution plan.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">These professionals act independently and are expected to safeguard the interests of all stakeholders. Their neutrality is critical, as they must balance the sometimes competing interests of creditors, employees, and the debtor.<\/span><\/p>\n<p><b>Adjudicating Authorities<\/b><\/p>\n<p><span style=\"font-weight: 400;\">To ensure specialized handling of cases, the code has created two separate adjudicating authorities:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The National Company Law Tribunal (NCLT) for companies and LLPs.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The Debt Recovery Tribunal (DRT) for individuals and partnership firms.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">This separation allows for a more efficient and focused approach, as each tribunal can develop expertise in the specific types of cases it handles. Appeals against NCLT decisions are heard by the National Company Law Appellate Tribunal (NCLAT), while appeals against DRT decisions go to the Debt Recovery Appellate Tribunal (DRAT).<\/span><\/p>\n<p><b>Step-by-Step Corporate Insolvency Resolution Process<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The Corporate Insolvency Resolution Process (CIRP) is the procedure followed when a company faces insolvency. The major steps include:<\/span><\/p>\n<ol>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Filing of application by a financial creditor, operational creditor, or the corporate debtor itself.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Admission or rejection of the application by the NCLT within 14 days.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Appointment of an Interim Resolution Professional (IRP) to take charge of the company\u2019s operations.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Public announcement inviting claims from creditors.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Verification of claims and formation of the Committee of Creditors (CoC).<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Preparation and submission of a resolution plan by prospective resolution applicants.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Approval of the resolution plan by at least 66% of the CoC.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Implementation of the approved plan or initiation of liquidation if no plan is approved.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">During this process, the management of the company is suspended, and promoters have no control over operations. However, the IRP may seek assistance from the existing management to ensure smooth day-to-day functioning.<\/span><\/p>\n<p><b>Time-Bound Nature of the Process<\/b><\/p>\n<p><span style=\"font-weight: 400;\">One of the key innovations of the IBC is the strict enforcement of timelines. The idea is to prevent the loss of value that occurs when insolvency cases drag on for years. By resolving cases within a fixed period, creditors can recover more of their dues, and viable businesses can be revived before their value erodes.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For example, a company that is still operational but struggling with debt can be revived quickly under the IBC, avoiding the prolonged decline that often occurred under the old system. On the other hand, if revival is not possible, the business is liquidated swiftly so that assets can be sold and proceeds distributed.<\/span><\/p>\n<p><b>Liquidation Process<\/b><\/p>\n<p><span style=\"font-weight: 400;\">If the resolution process fails or the creditors do not approve any resolution plan, the company goes into liquidation. In liquidation, the assets of the debtor are sold, and the proceeds are distributed among creditors according to a predefined order of priority.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The priority order typically starts with insolvency resolution costs, followed by secured creditors, employees\u2019 dues, and other unsecured creditors. Shareholders or owners receive any remaining amount, though in most cases little or nothing is left for them.<\/span><\/p>\n<p><b>Restrictions on Resolution Applicants<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The code includes specific restrictions to prevent misuse of the resolution process. Certain categories of individuals and entities are barred from submitting a resolution plan. These include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Wilful defaulters.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Promoters or management of the debtor with non-performing loans for over a year.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Directors who have been disqualified under the Companies Act.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Additionally, the code prohibits selling the assets of a defaulting debtor to such disqualified persons during liquidation. This ensures that those responsible for mismanagement cannot regain control of the business or its assets at a discounted value.<\/span><\/p>\n<p><b>Impact of the Insolvency and Bankruptcy Code<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Since its implementation, the IBC has had a significant impact on India\u2019s credit and business environment. Lenders now have a powerful tool to recover dues, which has improved the credit culture. Borrowers, aware of the strict timelines and loss of control during insolvency, are more inclined to settle debts promptly.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The introduction of licensed insolvency professionals has also improved the quality and neutrality of decision-making. By involving trained specialists, the process remains transparent and fair to all parties involved.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Internationally, the IBC has boosted India\u2019s ranking in the ease of doing business index, particularly in the parameter of resolving insolvency. Investors now view India as having a more predictable and efficient framework for dealing with financial distress.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The Insolvency and Bankruptcy Code 2016 is a landmark reform that has transformed the way insolvency cases are handled in India. By unifying multiple laws into a single framework, introducing strict timelines, and involving trained professionals, it has made the process faster, more transparent, and more effective.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Its emphasis on either reviving viable businesses or liquidating them without unnecessary delay protects the value of assets and promotes a healthier credit environment. While challenges remain in its implementation, the code has undoubtedly brought much-needed discipline and efficiency to India\u2019s insolvency resolution system.<\/span><\/p>\n<p><b>Introduction to the Governance Structure of the Insolvency and Bankruptcy Code<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The Insolvency and Bankruptcy Code 2016 is more than just a set of rules for resolving financial distress. It is supported by a well-defined governance structure that ensures transparency, accountability, and professional handling of insolvency cases. This governance system is designed to create confidence among creditors, protect debtors\u2019 rights, and maintain a balance between the interests of all stakeholders.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">At the heart of this system is a combination of regulatory authorities, adjudicating bodies, and licensed professionals who work together to ensure that the process functions smoothly. Each component of this structure has a clearly defined role, and their coordinated functioning is essential for achieving the code\u2019s objectives.<\/span><\/p>\n<p><b>The Insolvency and Bankruptcy Board of India<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The Insolvency and Bankruptcy Board of India (IBBI) is the primary regulatory authority under the code. It was established to oversee the functioning of insolvency processes across the country. The IBBI plays a critical role in setting the rules, monitoring compliance, and ensuring that the professionals involved in the process act with integrity and competence.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The board has multiple functions:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Registering and regulating insolvency professionals, insolvency professional agencies, and information utilities.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Issuing regulations and guidelines for conducting insolvency proceedings.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Monitoring and enforcing compliance with the provisions of the code.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Conducting investigations and taking disciplinary action against violators.<\/span><\/li>\n<\/ul>\n<p><b>Composition of the Board<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The IBBI is designed to have a diverse and expert-driven composition. It consists of ten members, including representatives from the Ministry of Finance, the Ministry of Law, and the Reserve Bank of India. This ensures that the board has the right mix of legal, financial, and administrative expertise to handle complex insolvency issues.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The presence of government representatives and experts also ensures that policy decisions are in alignment with the broader economic goals of the country.<\/span><\/p>\n<p><b>Regulatory Responsibilities of the IBBI<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The IBBI has the authority to regulate every entity involved in the insolvency process. This includes:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Insolvency professionals who manage cases.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Insolvency professional agencies that act as self-regulatory bodies.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Information utilities that collect and store financial information for use in insolvency proceedings.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">By maintaining a strict regulatory environment, the IBBI ensures that all participants in the process meet high professional standards and that cases are handled efficiently.<\/span><\/p>\n<p><b>Licensed Insolvency Professionals<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Licensed insolvency professionals are the backbone of the insolvency resolution process. Once an insolvency case is admitted, the appointed professional takes control of the debtor\u2019s assets and operations. Their role is to act impartially and work toward the best possible outcome for creditors and the debtor.<\/span><\/p>\n<p><b>Key responsibilities of insolvency professionals<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Managing the debtor\u2019s assets during the resolution process.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Collecting and verifying claims from creditors.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Ensuring the business continues operating where possible.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Preparing and presenting resolution plans to the Committee of Creditors (CoC).<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Overseeing the implementation of the resolution plan once approved.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Insolvency professionals must be members of an insolvency professional agency, which ensures their adherence to ethical and professional standards. They are also subject to disciplinary proceedings by the IBBI if they violate the code\u2019s provisions.<\/span><\/p>\n<p><b>Insolvency Professional Agencies<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Insolvency professional agencies (IPAs) act as self-regulatory bodies for insolvency professionals. They are responsible for enrolling members, setting professional standards, and monitoring the conduct of their members.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">While the IBBI provides overall regulation, IPAs handle day-to-day oversight, training, and capacity building of insolvency professionals. This two-tiered regulatory system ensures that professionals remain competent and up to date with the latest developments in insolvency law and practice.<\/span><\/p>\n<p><b>Information Utilities<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Information utilities (IUs) are another key element in the governance framework of the IBC. Their main purpose is to collect, store, and authenticate financial information from creditors and debtors.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This information plays a critical role in insolvency proceedings by:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Providing a reliable source of verified data.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Reducing disputes over the amount of debt owed.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Allowing faster admission of insolvency applications.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The use of information utilities ensures that all parties have access to accurate and authenticated financial records, which minimizes delays and disputes.<\/span><\/p>\n<p><b>Adjudicating Authorities<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The IBC has established specialized adjudicating authorities to handle insolvency cases. This specialization allows for faster and more consistent decision-making, as judges and members of these tribunals develop expertise in insolvency matters.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For corporate entities, including companies and limited liability partnerships, the National Company Law Tribunal (NCLT) serves as the adjudicating authority. For individuals and partnership firms, the Debt Recovery Tribunal (DRT) performs this function.<\/span><\/p>\n<p><b>National Company Law Tribunal<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The NCLT handles all corporate insolvency resolution processes, liquidation, and bankruptcy cases involving companies and LLPs. Its functions include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Accepting or rejecting insolvency applications.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Appointing interim resolution professionals.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Approving or rejecting resolution plans.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Ordering liquidation if the resolution process fails.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<\/ul>\n<p><b>Debt Recovery Tribunal<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The DRT deals with insolvency cases involving individuals and partnership firms. Its primary functions mirror those of the NCLT but are tailored to non-corporate entities.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Both NCLT and DRT are required to make quick decisions to ensure the time-bound nature of the process is maintained.<\/span><\/p>\n<p><b>Committee of Creditors<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The Committee of Creditors (CoC) is an essential decision-making body in corporate insolvency resolution. Once the insolvency process begins, the IRP collects claims from creditors and forms the CoC.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The CoC consists primarily of financial creditors, who have the power to:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Approve or reject resolution plans.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Decide on the extension of the resolution period.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Opt for liquidation if they believe revival is not feasible.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">A resolution plan requires the approval of at least 66% of the voting share of the CoC. This ensures that significant creditor support is needed for any major decision.<\/span><\/p>\n<p><b>The Role of Interim and Resolution Professionals<\/b><\/p>\n<p><span style=\"font-weight: 400;\">At the start of the insolvency process, an Interim Resolution Professional (IRP) is appointed. The IRP\u2019s initial tasks include taking control of the debtor\u2019s assets, collecting creditor claims, and forming the CoC.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Once the CoC is formed, it may decide to continue with the IRP as the Resolution Professional (RP) or appoint a new one. The RP then takes over the responsibility of preparing a resolution plan and ensuring its implementation if approved.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The RP must act with neutrality, balancing the interests of creditors and the debtor, and must avoid conflicts of interest.<\/span><\/p>\n<p><b>Oversight and Accountability<\/b><\/p>\n<p><span style=\"font-weight: 400;\">One of the strengths of the IBC is its focus on accountability. Insolvency professionals are required to act in the best interests of all stakeholders and are subject to strict codes of conduct.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If a professional is found guilty of misconduct, the IBBI has the authority to impose penalties, suspend licenses, or permanently bar them from practice. This ensures that the process remains transparent and that stakeholders can trust the integrity of the system.<\/span><\/p>\n<p><b>The Interplay Between Regulators, Tribunals, and Professionals<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The insolvency framework under the IBC operates through the combined efforts of regulatory bodies, adjudicating authorities, and licensed professionals. The IBBI sets the rules, registers and regulates professionals, and monitors compliance. The tribunals adjudicate cases, while insolvency professionals implement the process on the ground.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This coordinated approach reduces the chances of procedural delays and conflicting decisions. Each participant has a well-defined role, and the entire system is designed to move cases forward in a time-bound manner.<\/span><\/p>\n<p><b>Ensuring Transparency in the Process<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Transparency is a cornerstone of the IBC. All major steps in the insolvency process, including the appointment of professionals, public announcements for claims, and the approval of resolution plans, are conducted in a transparent manner.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Creditors are kept informed at every stage, and the CoC meetings provide a platform for discussing and deciding the future of the debtor. This openness builds trust among stakeholders and prevents disputes.<\/span><\/p>\n<p><b>Training and Capacity Building<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Given the technical and complex nature of insolvency proceedings, continuous training for insolvency professionals, tribunal members, and regulatory staff is essential. The IBBI and IPAs conduct regular training programs, workshops, and examinations to ensure that all participants are up to date with legal developments and best practices.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">These capacity-building efforts have been crucial in maintaining the quality and efficiency of the insolvency resolution system.<\/span><\/p>\n<p><b>Challenges in Governance and Regulation<\/b><\/p>\n<p><span style=\"font-weight: 400;\">While the governance structure of the IBC has been largely effective, it faces some challenges:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">High case loads for NCLT and DRT have sometimes caused delays.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Shortage of experienced insolvency professionals in certain regions.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Resistance from promoters and management during the resolution process.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Complexities in valuing assets and securing approvals for resolution plans.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Efforts are being made to address these issues through reforms, additional appointments, and better infrastructure.<\/span><\/p>\n<p><b>The Impact of Effective Governance<\/b><\/p>\n<p><span style=\"font-weight: 400;\">A well-governed insolvency framework has a direct impact on the ease of doing business. By ensuring that financial distress is addressed quickly and fairly, the IBC has improved creditor confidence and reduced the risk associated with lending and investment.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Effective governance also encourages entrepreneurship by providing a fair and predictable exit mechanism for businesses that fail. This allows entrepreneurs to take calculated risks without the fear of being trapped in prolonged financial disputes.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The governance and regulatory framework of the Insolvency and Bankruptcy Code is one of its strongest features. With the IBBI as the central regulator, specialized adjudicating authorities, professional oversight through IPAs, and the active role of licensed insolvency professionals, the system is designed to ensure fairness, speed, and transparency.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">While challenges remain in terms of capacity and procedural efficiency, the coordinated functioning of these institutions has already transformed India\u2019s insolvency resolution landscape. By continuing to strengthen governance, build professional capacity, and improve infrastructure, the code can deliver even greater benefits to creditors, debtors, and the overall economy.<\/span><\/p>\n<p><b>Introduction to the Insolvency Resolution Journey<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The Insolvency and Bankruptcy Code 2016 is designed to take a financially distressed entity from the stage of default to either revival or closure in a structured, time-bound manner. This process, known as the insolvency resolution journey, is one of the core elements of the code. It ensures that creditors can recover their dues efficiently, debtors get a fair chance to restructure or settle their obligations, and viable businesses are given the opportunity to continue operations.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The journey involves multiple stages\u2014each with defined responsibilities, deadlines, and participants. While the process is similar in principle for both corporate and individual debtors, the specific mechanisms vary depending on the type of entity involved.<\/span><\/p>\n<p><b>Initiation of Insolvency Proceedings<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The journey begins when an application for initiating insolvency proceedings is filed before the relevant adjudicating authority. This application can be filed by three categories of applicants:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Financial creditors, such as banks or lenders.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Operational creditors, such as suppliers of goods or services.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The debtor itself, whether a company, partnership, or individual.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The application must include proof of default, which is often supported by authenticated records from information utilities. Once filed, the adjudicating authority\u2014either the National Company Law Tribunal (NCLT) for corporate debtors or the Debt Recovery Tribunal (DRT) for individuals and partnerships\u2014must decide within 14 days whether to admit or reject the application.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If admitted, the insolvency resolution process formally commences, and certain legal protections and restrictions come into effect.<\/span><\/p>\n<p><b>Moratorium and Its Significance<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Once insolvency proceedings are admitted, a moratorium is declared. This is a legally binding period during which:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">No new legal cases can be filed against the debtor.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Existing legal proceedings are halted.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Creditors cannot take possession of the debtor\u2019s assets or enforce security interests.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The moratorium serves two important purposes:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It prevents the piecemeal dismemberment of the debtor\u2019s assets by individual creditors.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It provides a breathing space for the insolvency professional to assess the situation and prepare a resolution plan.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The moratorium remains in effect for the duration of the insolvency resolution process, which is typically 180 days, extendable by 90 days.<\/span><\/p>\n<p><b>Appointment of Interim Resolution Professional<\/b><\/p>\n<p><span style=\"font-weight: 400;\">When insolvency proceedings are admitted, the adjudicating authority appoints an Interim Resolution Professional (IRP). The IRP takes control of the debtor\u2019s management and assets, effectively replacing the existing management team.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The IRP\u2019s responsibilities during the initial phase include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Taking inventory of the debtor\u2019s assets and liabilities.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Collecting claims from creditors.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Verifying the validity of claims.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Convening the first meeting of the Committee of Creditors (CoC).<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">This early phase is crucial for setting the tone of the resolution process and ensuring that the debtor\u2019s assets are preserved for the benefit of all stakeholders.<\/span><\/p>\n<p><b>Formation of the Committee of Creditors<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The Committee of Creditors is formed by the IRP based on verified claims from financial creditors. Operational creditors do not typically have voting rights in the CoC, though they can attend meetings and express their views.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The CoC is the main decision-making body during the corporate insolvency resolution process. It has the power to:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Approve or reject resolution plans.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Decide on the replacement of the IRP with a Resolution Professional (RP).<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Authorize extensions to the resolution period.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Vote for liquidation if revival is not possible.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Decisions of the CoC require approval from creditors representing at least 66% of the voting share.<\/span><\/p>\n<p><b>Appointment of Resolution Professional<\/b><\/p>\n<p><span style=\"font-weight: 400;\">In the first CoC meeting, creditors may decide to either confirm the IRP as the permanent Resolution Professional (RP) or appoint a new RP. The RP\u2019s role is more expansive than the IRP\u2019s, as it involves preparing and implementing a resolution plan.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The RP must work in a neutral manner, balancing the rights of all creditors while ensuring the debtor\u2019s assets are managed efficiently. The RP also invites prospective resolution applicants to submit plans for reviving the debtor.<\/span><\/p>\n<p><b>Preparation of the Resolution Plan<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The resolution plan is a comprehensive proposal for how the debtor\u2019s financial distress will be resolved. It may involve restructuring debt, selling assets, changing management, or other measures aimed at restoring viability.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Resolution applicants, which may include other companies, investors, or consortiums, submit their plans to the RP. These plans are evaluated based on feasibility, viability, and compliance with legal requirements.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Once the RP selects the best plan, it is presented to the CoC for approval. At least 66% of voting creditors must approve the plan for it to move forward.<\/span><\/p>\n<p><b>Approval by the Adjudicating Authority<\/b><\/p>\n<p><span style=\"font-weight: 400;\">After CoC approval, the resolution plan is submitted to the adjudicating authority (NCLT or DRT) for final approval. The tribunal examines the plan to ensure it complies with the provisions of the code, protects the interests of stakeholders, and is feasible to implement.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If approved, the plan becomes binding on all parties, including creditors, debtors, and other stakeholders. The RP then oversees the implementation of the plan until completion.<\/span><\/p>\n<p><b>Failure of Resolution and Liquidation<\/b><\/p>\n<p><span style=\"font-weight: 400;\">If no resolution plan is approved within the maximum permitted timeframe (180 days plus a possible 90-day extension), the debtor proceeds to liquidation. Liquidation may also occur if the CoC votes for it early in the process.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">During liquidation:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A liquidator is appointed to take control of the debtor\u2019s assets.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Assets are valued and sold.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Proceeds are distributed among creditors according to a legally defined order of priority.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The priority order begins with covering insolvency resolution costs, followed by secured creditors, employee wages, unsecured creditors, and finally shareholders.<\/span><\/p>\n<p><b>Restrictions on Resolution Applicants<\/b><\/p>\n<p><span style=\"font-weight: 400;\">To maintain the integrity of the process, the code bars certain individuals and entities from submitting resolution plans. These include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Wilful defaulters who have intentionally not repaid loans.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Promoters or management of the debtor with overdue non-performing loans for over a year.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Directors disqualified under the Companies Act.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">These restrictions prevent those responsible for mismanagement from regaining control of the business or its assets through the resolution process.<\/span><\/p>\n<p><b>Amendments Strengthening the Code<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Since its enactment, the IBC has undergone several amendments to improve its efficiency and close loopholes. Some key changes include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Introducing a faster resolution process for small businesses and start-ups.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Clarifying the rights and voting powers of different categories of creditors.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Tightening eligibility criteria for resolution applicants.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Expanding the role of information utilities to ensure accurate financial data.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">These amendments reflect the dynamic nature of insolvency law and the need to adapt to emerging challenges.<\/span><\/p>\n<p><b>Impact on Credit Recovery<\/b><\/p>\n<p><span style=\"font-weight: 400;\">One of the most significant impacts of the IBC has been the improvement in credit recovery rates. Before the code, lenders often faced lengthy and uncertain recovery processes that could stretch over a decade. The time-bound structure of the IBC has reduced recovery times dramatically, making lending less risky and more attractive.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Banks and other financial institutions now have a credible mechanism to recover dues, which has improved the overall credit culture in the country.<\/span><\/p>\n<p><b>Effect on Business Behaviour<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The strict provisions of the IBC have also influenced business behaviour. The possibility of losing control over the company during insolvency proceedings has encouraged many promoters to settle debts before proceedings begin. This has led to an increase in out-of-court settlements, further reducing the burden on tribunals.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Moreover, companies have become more cautious in managing their debt, knowing that prolonged defaults can quickly lead to insolvency proceedings.<\/span><\/p>\n<p><b>Economic and Investor Confidence<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Internationally, the IBC has improved India\u2019s standing in the ease of doing business rankings, particularly in the area of resolving insolvency. This has made the country a more attractive destination for investment.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Investors take confidence from the fact that there is a clear, efficient mechanism for dealing with financial distress. This predictability reduces the perceived risk of investing in Indian businesses.<\/span><\/p>\n<p><b>Challenges in Implementation<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Despite its successes, the IBC still faces certain challenges:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Overburdened tribunals leading to delays in some cases.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Shortage of experienced insolvency professionals in certain regions.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Complex valuation issues in cases involving large or unique assets.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Resistance from promoters who may attempt to block resolution efforts.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Addressing these challenges requires continuous improvement in infrastructure, training, and legal provisions.<\/span><\/p>\n<p><b>Future Directions for the IBC<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Going forward, the IBC is likely to evolve further to address these challenges and improve efficiency. Potential future developments may include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Expanding digital processes to reduce paperwork and delays.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Increasing the use of pre-packaged insolvency resolution plans, especially for small businesses.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Strengthening the capacity of tribunals through more appointments and better technology.<\/span><span style=\"font-weight: 400;\">\n<p><\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Enhancing the role of information utilities to provide more real-time financial data.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">These steps will help ensure that the code continues to deliver on its promise of swift, fair, and transparent insolvency resolution.<\/span><\/p>\n<p><b>Conclusion<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The insolvency resolution journey under the Insolvency and Bankruptcy Code is a structured process that balances the rights of creditors and debtors while ensuring the efficient use of resources. From the filing of an application to the final outcome whether revival through a resolution plan or liquidation the code sets clear rules and deadlines for every stage.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Its emphasis on time-bound resolution, professional management, and transparent decision-making has transformed India\u2019s insolvency landscape. While challenges remain, ongoing reforms and improvements in governance are steadily strengthening the system.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">By maintaining its focus on efficiency, fairness, and adaptability, the IBC will continue to play a critical role in fostering a healthy business environment, encouraging investment, and supporting economic growth.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Insolvency and Bankruptcy Code 2016 was introduced as a comprehensive reform to address the growing issues of insolvency and bankruptcy in India. Before the [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[223],"tags":[],"_links":{"self":[{"href":"https:\/\/www.trevozo.com\/blog\/wp-json\/wp\/v2\/posts\/731"}],"collection":[{"href":"https:\/\/www.trevozo.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.trevozo.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.trevozo.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.trevozo.com\/blog\/wp-json\/wp\/v2\/comments?post=731"}],"version-history":[{"count":1,"href":"https:\/\/www.trevozo.com\/blog\/wp-json\/wp\/v2\/posts\/731\/revisions"}],"predecessor-version":[{"id":732,"href":"https:\/\/www.trevozo.com\/blog\/wp-json\/wp\/v2\/posts\/731\/revisions\/732"}],"wp:attachment":[{"href":"https:\/\/www.trevozo.com\/blog\/wp-json\/wp\/v2\/media?parent=731"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.trevozo.com\/blog\/wp-json\/wp\/v2\/categories?post=731"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.trevozo.com\/blog\/wp-json\/wp\/v2\/tags?post=731"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}