Insolvency resolution process costs and creditor participation rules are tightened through new committee approval and disclosure requirements.
The amendment requires that the eighteen largest operational creditors be unrelated operational creditors, includes all such creditors where fewer than eighteen exist, and provides for observer participation by specified unrelated operational creditors where non-bank and non-public financial institution creditors hold more than sixty-six per cent voting share. It also tightens approval of insolvency resolution process costs through first-meeting approval, a Going Concern Assessment Report, and prior committee approval for later costs. The committee must further record reasons on feasibility, viability, realisable value, and market discovery when approving resolution plans.

Insolvency resolution disclosure and procedure reforms expand filing data, guarantor asset transfer rules, and restoration mechanisms.
Amendments to the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 revise disclosure requirements for operational creditors and corporate applicants, standardise form usage through circulars, and expand information-sharing obligations among creditors and resolution professionals. The amendments also introduce provisions on transfer of guarantor assets, withdrawal of applications, dissolution during the corporate insolvency resolution process, and restoration before liquidation, while revising timelines, claim communication requirements, and the schedule structure.

Committee of creditors control in liquidation is expanded through revised approvals, claim handling, sale restrictions, and timelines.
The liquidation framework is restructured to place the committee of creditors at the centre of decision-making during liquidation, including recommendation of the liquidator, approval of professional appointments, approval of liquidation costs, fee arrangements, continuation or institution of proceedings, private sale conditions, extensions for balance consideration, and other material liquidation activities. The committee continues to function during liquidation, with specified participation rules for secured creditors and unsecured portions of debt, and the authorised representative continues in liquidation meetings on a mutatis mutandis basis. Claim submission, verification, reporting, valuation, sale controls, and the model liquidation timeline are also revised.

Personal guarantor bankruptcy process updated with new transfer-of-assets coordination, creditor approval, and disclosure requirements.
Amendment regulations under the Insolvency and Bankruptcy framework revise the bankruptcy process for personal guarantors to corporate debtors by replacing prescribed forms with forms notified by circular, updating the relevant cross-reference to section 164A, and inserting a new mechanism for facilitation of transfer of assets. The bankruptcy trustee must coordinate with the resolution professional, obtain committee of creditors approval for the transfer, and ensure appropriate disclosure where approval is granted.

Asset disclosure in personal guarantor insolvency resolution is expanded, with creditor approval and transfer coordination requirements introduced.
Amendments to the personal guarantor insolvency resolution regulations replace prescribed forms with circular-notified formats, omit existing forms, and expand disclosure and reporting requirements. A detailed statement of assets must accompany the application, covering direct and indirect holdings, joint assets, fiduciary holdings, beneficial ownership structures, and assets controlled or from which economic benefit is derived. The regulations also provide for coordination between resolution professionals and creditor approval in relation to transfer of assets, with disclosure obligations in the relevant reports.

Voluntary liquidation procedure updated with revised claims rules, Board-notified forms, and a new termination framework.
Amendments to the Insolvency and Bankruptcy Board of India (Voluntary Liquidation Process) Regulations, 2017 revise prescribed forms, replace several schedule-based forms with forms notified by Board circular, and reframe stakeholder interaction as assistance rather than consultation. The amendments add a claim-submission and claim-updation rule, require written reasons for rejection of claims, mandate communication of admission or rejection within seven days, and introduce a structured framework for termination of voluntary liquidation proceedings, including required declarations, reports, intimations, and cessation of the liquidator's powers on termination.

Pre-packaged insolvency resolution process formats shift to Board-notified templates with updated filing requirements for applicants.
The amendments replace several prescribed forms with formats notified by the Board across the pre-packaged insolvency resolution process and omit one definitional clause. A new information-and-documents provision requires the corporate applicant to file the directors' or partners' declaration, the process-initiating resolution, approval of unrelated financial creditors holding at least fifty-one per cent in value, the proposed resolution professional's consent and report, audited and provisional financial statements, and the notified format for authorised representatives, where applicable.

Information utilities amendment streamlines default authentication, introduces information of dispute, and replaces prescribed forms with board-notified formats.
The amendment replaces multiple prescribed forms in the Information Utilities Regulations, 2017 with formats notified by the Board through circular, introduces the expression "information of dispute," and clarifies that "debtor" includes "corporate debtor" unless the context otherwise requires. It also revises the authentication framework so that the information utility records default as authenticated or disputed depending on the debtor's response, with a proviso for financial institutions where disputes affecting only part of the amount or only non-financial information do not prevent authentication of the undisputed default amount.

Inspection and investigation rules are updated to align definitions, include directions, and replace prescribed Form A with a notified format.
Inspection and investigation regulations under the Insolvency and Bankruptcy Code are amended to revise the definitions used for inspection-related proceedings and align key terminology with the Code. The amendments also expand the framework by inserting references to directions alongside actions, specify that a relevant direction is one issued by the Disciplinary Committee, and replace the prescribed Form A with such format as notified by the Board, while omitting Form A after Chapter V.

Grievance and complaint handling procedure updated with revised definition and Board-notified filing format
The grievance and complaint handling framework is amended to align the definition of "insolvency professional agency" with section 3(31A) of the Insolvency and Bankruptcy Code, 2016. The filing procedure is updated by replacing the reference to Form A with a format to be notified by the Board. Form A is also omitted from the principal regulations, and the amendments take effect on publication in the Official Gazette.

Commencement notification activates specified Insolvency and Bankruptcy Code amendment provisions from the appointed date.
The Central Government has appointed 26 May 2026 as the date on which specified provisions of the Insolvency and Bankruptcy Code (Amendment) Act, 2026 will come into force. The notification brings into operation sections 2 to 6, 8 to 33, specified parts of section 34, sections 35 to 39, 41, 43 to 44, 46, 48 to 59, 61 to 66, 68, clause (a) of sections 69 and 70, selected sub-clauses of section 70(b) except one excluded sub-clause, and section 72.

Pre-packaged insolvency valuation rules now require timely valuers, tighter conflict exclusions, and clarified fair value methodology.
The pre-packaged insolvency resolution process valuation framework is revised to require the resolution professional to appoint registered valuers within three days of appointment, unless two sets are appointed for recorded reasons. The amendment also excludes related parties, recent auditors, connected insolvency professional entity officials, and specified relatives from appointment. It further clarifies that the coordinating valuer's fair value, or the average of two sets where appointed, and the aggregate liquidation value, or the aggregate of average estimates from two sets, will govern valuation of the corporate debtor.

Liquidation valuation rules for MSMEs now require one registered valuer per asset class, with a recorded exception for two valuers.
The liquidation valuation framework is amended for corporate debtors classified as micro, small or medium enterprises. In such cases, the liquidator must appoint one registered valuer for each asset class, unless, after consultation with the consultation committee and for reasons recorded in writing, the liquidator decides to appoint two registered valuers. A consequential drafting insertion is also made in the proviso to regulation 35(2).

MSME insolvency valuation rule now requires one set of registered valuers unless the committee records reasons for two sets.
Insolvency resolution process regulations are amended to require, for a corporate debtor classified as a micro, small or medium enterprise, appointment of one set of registered valuers unless the committee records reasons in writing to appoint two sets. The amendment comes into force on publication in the Official Gazette.

Governing board composition rules for insolvency professional agencies tightened with nominee director, independence, and appointment approval requirements.
The amendments revise the governing board framework for insolvency professional agencies by adding a nominee director, clarifying that the minimum seven directors requirement excludes that nominee director, and tightening independence conditions for independent directors. They also make a second term subject to a satisfactory performance review and prior Board approval, and require the Board's nominee director to have the same status, rights, duties, powers and responsibilities as other directors. For managing director appointment or renewal, at least two names must be forwarded to the Board one month before expiry of the existing tenure.

Valuation standards updated: Board-notified standards and prescribed valuation report format mandated for registered valuers.
Amendment replaces the phrase "internationally accepted valuation standards" in regulation 30(2) with "such valuation standards as notified by the Board through circular" and inserts a provision requiring a registered valuer to prepare the valuation report and maintain documentation in the format notified by the Board through circular.

Fair value redefined and two-set registered valuer framework mandated for pre-pack valuation and documentation compliance.
The amendment redefines fair value as the estimated realizable value of the corporate debtor or its assets on the insolvency commencement date, aggregating all tangible and intangible assets and accounting for underlying synergies. It requires appointment of two sets of registered valuers, with one valuer per asset class and a designated coordinating valuer in each set; valuers must physically verify assets, explain methodology to the committee, submit asset-level fair value and liquidation reports, and the average of the two coordinating-valuer fair value estimates will be the corporate debtor's fair value. Valuers must maintain reports in Board-notified formats.

Registered valuer obligation: must follow Board's prescribed format for valuation reports and records in voluntary liquidation.
The amendment requires a registered valuer to prepare the valuation report and maintain associated documentation in accordance with the format notified by the Board through a circular, thereby making the Board's notified format the mandatory standard for valuation reports and record keeping in the voluntary liquidation process.

Valuation standards revised: registered valuers must follow Board notified standards and prescribed report format, maintaining required documentation.
The amendment directs that valuation in liquidation must follow valuation standards notified by the Board through circular, replacing prior reference to Companies valuation rules. It also requires a registered valuer to prepare the valuation report and maintain supporting documentation in the format the Board prescribes by circular, establishing compliance obligations for valuation methodology and recordkeeping in liquidation.

Fair value determination updated: dual valuers, coordinating valuers, third valuer option, and averaging for final valuation.
The amendments revise fair value to include total estimated realizable value of all assets and their synergies; require the resolution professional to appoint two sets of registered valuers within seven days but not later than the forty seventh day to determine fair value and liquidation value; structure valuation by asset class with coordinating valuers consolidating asset valuations after physical verification and committee briefing; permit a third set of valuers if two estimates differ significantly (twenty five per cent or more); average the two closest estimates for final fair value and liquidation value; mandate Board format valuation documentation; and expand information memorandum disclosures including treatment of non claiming allottees in real estate projects.