🔴 IBC Amendment Act, 2026 — Key Updates (Passed Lok Sabha March 30 & Rajya Sabha April 1, 2026):
• 14-Day Admission Timeline: NCLT must admit/reject Section 7/9/10 applications within 14 days — must record reasons for delay.
• New CIIRP Track: Creditor-Initiated Insolvency Resolution Process — debtor's management stays in control (DIP model) — 150 days (extendable 45 days).
• Section 28A: Transfer of guarantor assets permitted as part of CIRP of principal debtor — with CoC approval.
• CoC Supervisory Role in Liquidation: Committee of Creditors now supervises the liquidator during liquidation proceedings.
• Section 30 Amendment: Dissenting financial creditor must receive not less than the LOWER of liquidation value or entitlement under resolution plan.
• Section 10 Amendment: Corporate debtor CANNOT nominate the IRP — reduces risk of bias.
• Cross-Border Insolvency Framework: Groundwork laid for India's first comprehensive cross-border insolvency norms.
• Group Insolvency: Framework introduced for coordinated resolution of group companies.
• Section 64A: Penalty for frivolous proceedings before Adjudicating Authority.
• Average CIRP time: 716 days (FY 2023-24) vs. statutory limit of 330 days — Amendment targets reduction.
• SC 2026 — ICICI Bank v. Era Infrastructure (2026 INSC 201): Section 7 "may" = discretion; Section 9 "shall" = mandatory for NCLT.