The Insolvency and Bankruptcy Board of India (IBBI) invites suggestions/comments from public and regulated entities, on the Regulations for simplifying, easing and reducing cost of compliance.

The suggestions are invited in pursuance of the announcement made in the Union Budget for FY 2023-24 by the Union Finance Minister:

“To simplify, ease and reduce cost of compliance, financial sector regulators will be requested to carry out a comprehensive review of existing regulations. For this, they will consider suggestions from public and regulated entities. Time limits to decide the applications under various regulations will also be laid down.”

The comments may be provided online by visiting the IBBI website at - https://ibbi.gov.in/webfront/regulation_comment.php .

The procedure to submit the comments shall be same as provided in Press Release No. IBBI/PR/2023/05 dated 4^th May 2023 (click here to go the Press Release).

Apart from wide and transparent public consultation before making regulations, the IBBI  follows a dual-review mechanism of its regulations, as under –

(a) Annual review of Regulations after inviting public comments.

(b) Review of regulations every three years based on set criteria including intended objectives and outcomes achieved.

The three-year review process has been completed in the year 2021 and IBBI has issued a press release on 4^th May 2023 seeking public comments on Regulations for Annual review for this year. The last date for submission of comments and suggestions is 31^st December 2023. The comments are being received and examined.

Section 240 read with sections 188 and 196 of the Insolvency and Bankruptcy Code, 2016 (Code) empowers the Insolvency and Bankruptcy Board of India (IBBI) to make regulations. IBBI has framed IBBI (Mechanism for Issuing Regulations) Regulations, 2018 providing for the manner of consultation, framing and review of Regulations.

Regulatory simplification: call for suggestions to ease and reduce compliance costs under insolvency regulations and streamline review Invitation for suggestions to simplify, ease and reduce compliance costs of regulations under the Insolvency and Bankruptcy Code, 2016, with comments to be submitted online through the Board's consultation portal. The process follows the IBBI (Mechanism for Issuing Regulations) Regulations, 2018, and an announced dual-review mechanism comprising Annual Review and Triennial Review, the former conducted after public comment and the latter assessing regulations against intended objectives and outcomes.