The Insolvency and Bankruptcy Board of India (IBBI) has released a discussion paper aiming to strengthen the regulatory framework on the corporate insolvency resolution process (CIRP), liquidation, and insolvency and bankruptcy from personal guarantors to corporate debtors.
The move intends to plug gaps, reduce procedural uncertainty and align the regulations with the Insolvency and Bankruptcy Code (Amendment) Act, 2026.
The proposed changes involved regulations onregistered valuers (RVs), removal of interim moratorium protection, resolution professional’s (RP) obligations during withdrawal application pendency and administrative burden on liquidators for modifications in list of stakeholders.
It proposes that the appointment of RVs would require prior approval of the committee of creditors (CoC) and that RVs’ valuations be submitted in a sealed cover or through a secure electronic mode, by the last date of receiving resolution plans. These changes would speed up the resolution process as currently only the RP appoints RVs and submission of RV reports has no time limit.
For the interim moratorium period, it proposes that the applicant shall notify all other involved parties about the non- of the previously existing moratarium related rules, as appplicable, within 30 days these proposed changes have been notified.
The changes also propose that an RP will continue their responsibilities in a CIRP until the adjudicating authority decides on the withdrawal application and removing the requirement of approaching the adjudicating authority for modifying the list of stakeholders.
The changes have been released for public comment after the IBBI received several representations from various industry entities, pointing out procedural gaps and ambiguities affecting efficient proceedings under the current rules.
Comments can be submitted online on the IBBI’s website by 22 July 2026.
