India's Insolvency Amendment: New Fees on Resolution Plans and Professional Costs Effective October 1, 2022.

The Insolvency and Bankruptcy Board of India issued the Fifth Amendment to the Insolvency Resolution Process for Corporate Persons Regulations, 2016, effective from October 1, 2022. The amendment introduces a regulatory fee structure: a fee of 0.25% of the realisable value to creditors under an approved resolution plan, applicable when the realisable value exceeds the liquidation value, and a 1% fee on costs incurred for hiring professionals during the insolvency resolution process. These fees are payable to the Board and are applicable to resolution plans approved on or after the effective date.