Parliament passes bill to amend Insolvency and Bankruptcy Code
A bill to amend the Insolvency and Bankruptcy Code (IBC) 2016, allowing home buyers to be treated as financial creditors and seeking to set up a special dispensation for small sector enterprises, was passed by Parliament today.
The bill, which was passed in Lok Sabha on July 31, was approved in the Rajya Sabha on Friday by voice vote.
The legislation seeks to replace the June 6 ordinance that sought to put these amendments into force to aid quick resolution of several bankrupt firms.
Replying to the debate on the Insolvency and Bankruptcy Code (Second amendment) 2018 in the Upper House, Finance Minister Piyush Goyal said its objective was to provide resolution to small bankrupt firms and, at the same time, take stringent action against big bankrupt businesses.