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Cabinet nod to amendments to Insolvency Code bill, 58 obsolete laws to be repealed
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Cabinet nod to amendments to Insolvency Code bill, 58 obsolete laws to be repealed

Agency News

New Delhi, Jul 17: Union Cabinet on Wednesday approved Insolvency and Bankruptcy Code (Amendment) Bill, 2019, which has seven amendments to the Code as enacted in 2016.

According to official sources, the Cabinet presided over by Prime Minister Narendra Modi also gave its nod to repeal 58 obsolete laws and decided to introduce the Repealing and Amending Bill, 2019 in Parliament.

Official sources said the salient features of the amendments to the Insolvency and Bankruptcy Code would include giving greater emphasis on the need for time bound disposal of application stage. They further said there will be changes in the law, which would deal with the votes of the financial creditors covered under Sector 21 (6A). The amendments aim to fill critical gaps in the corporate insolvency resolution framework as enshrined in the Code.

"This will enable the government to ensure maximisation of value of a corporate debtor as a going concern, while adhering to the strict timelines", an official said. (UNI)