| Regulation | Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016. | Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Fifth Amendment) Regulations, 2025. | Comments |
| Reg – 36 Information Memorandum sub regulation (1) Sub regulation (2) New clause inserted (ha) | Subject to sub-regulation (4), the resolution professional shall submit the information memorandum in electronic form to each member of the committee [on or before the ninety-fifth day from the insolvency commencement date | Subject to sub-regulation (4), the resolution professional shall submit the information memorandum in electronic form to each member of the committee [on or before the ninety-fifth day from the insolvency commencement date and its subsequent updates thereof Details of all identified avoidance transactions, if any, under Chapter III or fraudulent or wrongful trading under Chapter VI of Part II of the Code and subsequent filings before Adjudicating Authority, as referred under sub-regulation (3A) of regulation 35A | Regulation 36(1) now includes the clause “and its subsequent updates thereof,” emphasizing continuous updates to the information memorandum after the insolvency commencement date A new clause (ha) under Regulation 36(2) requires disclosure of all identified avoidance transactions (such as preferential, undervalued, extortionate, or fraudulent transactions) and related filings before the Adjudicating Authority. |
| Reg -38 Mandatory contents of the resolution plan after sub-regulation (2), the sub-regulation (2A) shall be inserted | (2A) A resolution plan shall not provide for assignment of any avoidance transactions under Chapter III or fraudulent or wrongful trading under Chapter VI of Part II of the Code that were not: (a) disclosed in the information memorandum; and (b) intimated to all prospective resolution applicants under sub-regulation (3A) of regulation 35A before the last date for submission of resolution plans: Provided that this sub-regulation shall not apply to any resolution plan that has been submitted to the Adjudicating Authority under sub-section (6) of section 30 on or before the date of commencement of the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Fifth Amendment) Regulations, 2025 | Regulation 38 has been amended to insert sub-regulation (2A), which prohibits the assignment of avoidance transactions or fraudulent/wrongful trading in resolution plans if: (a) they were not disclosed in the information memorandum, and (b) not communicated to prospective resolution applicants before the final submission deadline. However, this restriction does not apply to resolution plans already submitted to the Adjudicating Authority before the commencement of the Fifth Amendment Regulations. |
Link – https://ibbi.gov.in/uploads/legalframwork/c6396cff47bd23b1b6a5445da6e905cc.pdf
