May 20, 2017
Insolvency and Bankruptcy Code - Latest updates
The Ministry of Corporate Affairs ("MCA") vide notification no. S.O. 1570(E). dated May 15, 2017 has appointed April 1, 2017 for enforcement of the provisions of clause (a) to (d) of section 2 of the Insolvency and Bankruptcy Code, 2016 ("Code") relating to voluntary winding up or bankruptcy. MCA, in the explanatory memorandum to the said notification, has mentioned that the retrospective effect to the notification will not cause any adverse effect to any person and the retrospective effect is purely procedural in nature.
Section 2 of the Code is as follows:
The provisions of this Code shall apply to:
(a) any company incorporated under the Companies Act, 2013 or under any previous company law;
(b) any other company governed by any special Act for the time being in force, except in so far as the said provisions are inconsistent with the provisions of such special Act;
(c) any Limited Liability Partnership incorporated under the Limited Liability Partnership Act, 2008;
(d) such other body incorporated under any law for the time being in force, as the Central Government may, by notification, specify in this behalf; and
(e) partnership firms and individuals,
In relation to their insolvency, liquidation, voluntary liquidation or bankruptcy, as the case may be.
A copy of the above notification is enclosed for your reference.
Earlier, MCA vide notification no. S.O. 3594(E) dated November 30, 2016 had appointed December 1, 2016 for the enforcement of the provisions of clause (a) to (d) of section 2 of the Code (except with regard to voluntary winding up or bankruptcy). Further, clause (e) of section 2 of the Code has not been notified yet.
To read the complete notification, you may download the attachment.
For any details and clarifications, please feel free to write to:
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