Tranzission Blogs
328articlesInsights and guides on tax, compliance, and business strategy from Tranzission.
Impact of Section 31 of IBC on Stakeholders Obligations
The Adjudicating Authority approves the resolution plan submitted by the Committee of Creditors, if it meets the requirements of the Insolvency and Bankruptcy Code, 2016 (IBC). Once approved, the resolution plan becomes legally binding on all parties associated with the corporate debtor. Section 31 of IBC affects not only the corporate debtor’s creditors, but also […]
Read moreCritical Analysis Of Section 29A
Critical Analysis Of Section 29A has emerged as a comprehensive legislation with a speedy and specific procedure for dealing with the issue of insolvency. One of the main objectives of the IBC is to provide the corporate debtor with a resolution plan. Before the Amendment Act, of 2017, there were no specific criteria or qualifications […]
Read moreOffences and Penalties under IBC, 2016
The Offences and Penalties under IBC are listed Chapter VII of the Insolvency and Bankruptcy Code, 2016. The inclusion of Offences and Penalties under IBC in the Code are important for preventing fraud, misconduct, and ensuring that there is strict adherence to the Insolvency and Bankruptcy Code, 2016. As per section 236 of the IBC, […]
Read moreInformation Utilities under IBC: key Pillars of Insolvency
The success of the insolvency proceedings depends on the information submitted by the corporate debtor. By not providing updated and accurate information, the insolvency process may impede and comprise the valuation of the corporate debtor’s assets. Traditionally this has been done through a paper process, but due to the increase in technology, Information Utilities under […]
Read moreAnalysing Section 60(5) of the IBC
Section 60(5) of the IBC grants the National Company Law Tribunal (NCLT) the jurisdiction to handle any application, proceeding, or claim related to a corporate debtor undergoing insolvency resolution or liquidation. Essentially it makes the NCLT the sole forum for all matters arising from a company’s insolvency proceedings. Section 60(5)(c) grants the NCLT jurisdiction over […]
Read moreHow to become a Registered Valuer under IBBI
Registered valuers individuals with specific qualifications who play an important role for accurately providing valuation of the corporate debtor’s assets during the resolution process. Insolvency professionals rely on the valuation of the registered valuers to make more informed decisions throughout the insolvency processes. Who is a registered valuer? A registered valuer is defined under Regulation […]
Read moreCross-Border Insolvency Challenges
Companies operate across multiple companies, with assets and stakeholders in countries other than India. When these companies face financial issues they are forced to present their better before national and international laws. Therefore, their Cross-Border Insolvency Challenges operations become complex regarding the jurisdiction, how to handle the stakeholders properly, and other financial and legal intricacies. […]
Read moreRole of Bankruptcy Trustee in Ibc
An individual or a partnership firm is bankrupt when it is unable to meet its financial obligations and has insufficient assets to cover its debt. The corporate debtor initiates the bankruptcy procedure by filing a petition with the Adjudicating Authority, the National Company Law Tribunal (NCLT). The NCLT will assess and value the debtor’s assets, […]
Read moreInsolvency vs Bankruptcy: Key Differences Explained
When a company or individual cannot pay their debts, they may undergo proceedings under the Insolvency and Bankruptcy Code, 2016 (IBC). This Act is related to the reorganization and insolvency resolution of corporate persons, partnership firms, and individuals in a time-bound manner. The terms insolvency vs bankruptcy are often used interchangeably, but they are distinct […]
Read moreWhat to learn from Singapore’s insolvency framework
Singapore’s insolvency framework is considered one of the best due to its efficient processes, well-designed mechanisms, amongst other features. Having an effective insolvency framework for debtors can promote entrepreneurship, and responsibility for risk-taking, and prevent distressed companies from closing down. On the other hand, a framework for creditors can help them to recover their debts […]
Read moreRole of Authorised Representative under IBC, 2016
The Insolvency and Bankruptcy Code, 2016 consolidates the previously fragmented insolvency legal system. Under this framework, Authorised Representative under IBC to represent the stakeholders during the resolution process. The primary objective of appointing an authorised representative is to ensure the interests of the creditors are represented throughout the insolvency process. Hence, authorised representatives have an […]
Read moreConflict of Jurisdiction between NCLT and Civil Courts
Conflict of Jurisdiction between NCLT and Civil Courts arises under the Insolvency and Bankruptcy Code, 2016 (IBC), which provides a legal framework for resolving financial distress within a strict timeframe. While the National Company Law Tribunal (NCLT) is designated to handle insolvency matters, other company-related issues fall under the jurisdiction of civil courts. However, the […]
Read more