IBBI notifies amendments to streamline corporate insolvency process

The Insolvency and Bankruptcy Board of India (IBBI) has notified significant amendments to streamline the corporate insolvency process. Key changes include empowering Resolution Professionals (RPs) to invite expressions of interest for individual assets of a corporate debtor, alongside the entire entity, to accelerate resolutions and prevent value erosion. The new regulations also mandate that financial creditors who did not support a resolution plan will receive pro-rata payments ahead of those who voted in favor in staged payments. Furthermore, the Committee of Creditors (CoC) can now invite interim finance providers as observers to meetings, enhancing transparency and informed decision-making.