**Executive Summary:**
This document outlines the Insolvency and Bankruptcy Board of India's (IBBI) regulations for issuing and amending regulations, effective October 22, 2018. It details the process for public consultation, economic analysis, and review of regulations. The regulations aim to ensure transparency and stakeholder involvement in the regulatory process under the Insolvency and Bankruptcy Code, 2016.
**Key Points / Main Content:**
**I. General Provisions**
* These regulations are called the Insolvency and Bankruptcy Board of India (Mechanism for Issuing Regulations) Regulations, 2018.
* These regulations shall not apply to regulations made by the Board regarding organizational matters.
**II. Making Regulations**
* The Board may make regulations to carry out the provisions of the Code, adhering to regulations 4 and 5.
* For making regulations, the Board shall upload specific information on its website with the approval of the Governing Board, seeking public comments.
**III. Public Consultation Process**
* The Board shall upload a draft of proposed regulations, the relevant provision of the Code, a statement of the problem, an economic analysis, international norms and best practices (if any), the manner of implementation, and timelines for receiving comments.
* The public will have at least twenty-one days to submit comments.
* The Board shall consider and upload the public comments received along with a general statement of its response.
* If the Governing Board substantially alters the proposed regulations, the consultation process must be repeated.
* The regulations shall be notified promptly after approval by the Governing Board, with enforcement ordinarily after thirty days unless otherwise specified.
* The Board may consult stakeholders and advisory committees as needed.
**IV. Economic Analysis**
* The Board shall conduct an economic analysis of proposed regulations.
* The analysis shall cover expected costs and benefits to society, the economy, stakeholders, and the Board, and how the regulations strengthen the objectives of the Code.
**V. Amendment and Review of Regulations**
* Any amendment to regulations must comply with regulations 4 and 5 (Public Consultation and Economic Analysis).
* The Board shall review each regulation every three years or earlier if warranted, considering its objectives, outcome, implementation experience, enforcement experience, global best practices, relevance, and any other relevant factor.
**VI. Urgent Regulations**
* The Board may issue or amend regulations urgently with the Governing Board's approval without following regulations 4 and 5.
**VII. Guidance on Law**
* The Board may offer clarification or guidance on regulations, either upon request or on its own initiative, provided that such guidance shall not be construed as a determination of any question of fact or law.
**Impact Analysis:**
**A. Insolvency and Bankruptcy Board of India (IBBI):**
* *Impact:* The IBBI is responsible for implementing and adhering to these regulations in the process of creating, amending, and reviewing regulations related to the Insolvency and Bankruptcy Code.
* *Action Required:* The IBBI must establish mechanisms for public consultation, economic analysis, and periodic review, ensuring compliance with the specified timelines and procedures.
**B. Governing Board of the IBBI:**
* *Impact:* The Governing Board is responsible for approving the release of draft regulations for public comment and the final regulations.
* *Action Required:* The Governing Board must review and approve draft regulations, considering public comments and economic analysis before final notification.
**C. General Public/Stakeholders:**
* *Impact:* The public and stakeholders are given a formal process to provide feedback on proposed regulations, potentially influencing the final outcome.
* *Action Required:* The public and stakeholders should actively participate in the consultation process by submitting comments on proposed regulations within the provided timelines.
**D. Advisory Committees:**
* *Impact:* Advisory committees may be consulted during the regulation-making process.
* *Action Required:* Provide expert advice and feedback to the Board on proposed regulations, as requested.
Key Entities Referenced
Insolvency and Bankruptcy Board of India: A regulatory body in India responsible for overseeing insolvency proceedings and regulating insolvency professionals.
Insolvency and Bankruptcy Code, 2016: An Indian law that consolidates and amends the laws relating to reorganization and insolvency resolution of corporate persons, partnership firms, and individuals.
New Delhi: The location where the notification was issued, likely referring to New Delhi, Delhi, India.
October 22, 2018: The date on which the notification was issued.
Official Gazette: The official government publication where regulations are published.
Governing Board: The board of members constituted under subsection 1 of section 189 of the Insolvency and Bankruptcy Code.
Advisory Committee: An advisory committee constituted by the Insolvency and Bankruptcy Board of India under section 197 of the Insolvency and Bankruptcy Code.
Dr. M. S. Sahoo: Chairperson of the Insolvency and Bankruptcy Board of India at the time of notification.
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EXTRAORDINARY
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PART III—Section 4
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PUBLISHED BY AUTHORITY
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No. 394] NEW DELHI, MONDAY, OCTOBER 22, 2018/ASVINA 30, 1940
भभभभााााररररततततीीीीयययय (cid:8)(cid:8)(cid:8)(cid:8)ददददववववााााललललाााा औऔऔऔरररर शशशशोोोोधधधधनननन अअअअ(cid:18)(cid:18)(cid:18)(cid:18)ममममतततताााा बबबबोोोोडडडड (cid:22)(cid:22)(cid:22)(cid:22)
अअअअििििधधधधससससचचूूचचूू ननननाााा
नई (cid:4)द(cid:6)ली, 22 अ(cid:11)त ूबर,2018
.—
आआआआईईईई....बबबबीीीी....बबबबीीीी....आआआआईईईई..../2222000011118888----11119999/जजजजीीीी....एएएएनननन..../आआआआरररर....ईईईई....जजजजीीीी....000033338888 भारतीय (cid:4)दवाला और शोधन अ(cid:23)मता बोड,(cid:27)
(cid:4)दवाला और शोधन अ(cid:23)मता संिहता, 2016 (2016 का 31) क( धारा 240 के साथ प-ठत धारा 196 के खंड (ध)
क( उपधारा (1) 1ारा 2द3 शि4य5 का 2योग करते 7ए, िन9िलिखत िविनयम बनाता ह,ै अथा(cid:27)त्: -
अअअअ(cid:23)(cid:23)(cid:23)(cid:23)ययययाााायययय 1111
(cid:25)(cid:25)(cid:25)(cid:25)ााााररररंंंंििििभभभभकककक
1111.... ससससििंंििंं (cid:18)(cid:18)(cid:18)(cid:18)(cid:31)(cid:31)(cid:31)(cid:31) ननननाााामममम औऔऔऔरररर (cid:25)(cid:25)(cid:25)(cid:25)ााााररररंंंंभभभभ
(1) इन िविनयम5 का संि(cid:23)? नाम भारतीय (cid:4)दवाला और शोधन अ(cid:23)मता बोड (cid:27) (िविनयम जारी करने क(
2(cid:4)Aया) िविनयम, 2018 ह ै।
(2) ये िविनयम, अBयथा उपबंिधत के िसवाय, राजपC म D उनके 2काशन क( तारीख को 2वृ3 ह5गे ।
(3) ये िविनयम, बोड (cid:27) 1ारा संगठनाGमक िवषय5 क( बाबत बनाए गए िविनयम5 को लागू नहI ह5गे ।
2222.... पपपप""""ररररभभभभााााषषषषााााएएएए ंं ंं
(1) इन िविनयम5 मD, जब तक (cid:4)क संदभ(cid:27) मD अBयथा अपेि(cid:23)त न हो,-
(क) “सलाहकार सिमित” से संिहता क( धारा 197 के अधीन बोड (cid:27) 1ारा ग-ठत सलाहकार सिमित अिभ2ेत
ह;ै
(ख) “संिहता” से (cid:4)दवाला और शोधन अ(cid:23)मता संिहता, 2016 (2016 का 31) अिभ2ेत ह;ै और
6179 GI/2018 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC. 4]
(ग) “शासी बोड”(cid:27) से संिहता क( धारा 189 क( उपधारा (1) के अधीन ग-ठत सदLय5 का बोड (cid:27) अिभ2ेत है ।
(2) उन शMद5 और अिभNि4य5 के, जो इन िविनयम5 म D 2यु4 ह P और प-रभािषत नहI ह ै (cid:4)कBतु संिहता मD
प-रभािषत ह,P वहI अथ (cid:27) ह5ग े जो उनके Aमशः संिहता मD ह P ।
अअअअ(cid:23)(cid:23)(cid:23)(cid:23)ययययाााायययय 2222
ििििववववििििननननययययमममम%%%% ककककाााा ततततययैैययैै ाााारररर (cid:8)(cid:8)(cid:8)(cid:8)ककककययययाााा जजजजााााननननाााा
3333.... ििििववववििििननननययययमममम ततततययैैययैै ाााारररर ककककररररननननाााा
बोड,(cid:27) संिहता के उपबंध5 को काया(cid:27)िBवत करने के िलए िविनयम 4 और िविनयम 5 के अनुपालन मD िविनयम
बना सकेगा ।
4444.... ललललोोोोकककक पपपपररररााााममममशशशश (cid:22)(cid:22) (cid:22)(cid:22)
(1) बोड,(cid:27) िविनयम बनाने के 2योजनाथ(cid:27), शासी बोड (cid:27) के अनुमोदन से, जनता से -टTपिणय5 क( ईTसा करते
7ए, अपनी वैबसाइट पर िन9िलिखत अपलोड करेगा-
(क) 2Lतािवत िविनयम5 का 2ाVप;
(ख) संिहता का वह िविनWदX उपबंध िजसके अधीन बोड (cid:27) 1ारा िविनयम बनाना 2Lतािवत ह;ै
(ग) उस समLया का कथन िजसे 2Lतािवत िविनयम 1ारा दरू (cid:4)कए जाने क( ईTसा ह;ै
(घ) िविनयम 5 के अधीन 2Lतािवत िविनयम5 का आ[थक िव\ेषण;
(ङ) 2Lतािवत िविनयम से ससु ंगत, अंतररा^ीय मानक Lथािपत करने वाले अिभकरण5 1ारा सम[थत और
अंतररा^ीय सव_3म प`ितय5 के मानदडं 5, य(cid:4)द कोई ह,P से संबंिधत एक िववरण;
(च) 2Lतािवत िविनयम5 को काया(cid:27)िBवत करने क( रीित; और
(छ) जनता से -टTपिणयां 2ा? करन े क( रीित, 2(cid:4)Aया और समय-सीमा ।
(2) बोड,(cid:27) जनता को अपनी -टTपिणयां 2Lतुत करने के िलए कम से कम इc(स (cid:4)दन का समय अनुdात
करेगा ।
(3) बोड,(cid:27) जनता से 2ा? -टTपिणय5 पर िवचार करेगा और िविनयम5 क( अिधसूचना क( तारीख के
अपeात्, -टTपिणय5 के संबंध मD अपनी 2ित(cid:4)Aया संबंधी एक साधारण िववरण सिहत उBह D अपनी वैबसाइट पर
अपलोड करेगा ।
(4) य(cid:4)द शासी बोड (cid:27) 2Lतािवत िविनयम5 का ऐसे Vप मD अनुमोदन करने का िविनeय करता ह ै जो (cid:4)क
2Lतािवत िविनयम5 से सारवान् Vप से िभg ह ै तो वह इस िविनयम के अधीन 2(cid:4)Aया को दोहराएगा ।
(5) िविनयम5 को शासी बोड (cid:27) 1ारा अनुमो(cid:4)दत (cid:4)कए जाने के पeात् तुरंत अिधसूिचत (cid:4)कया जाएगा और
उनके 2वतन(cid:27) क( तारीख, जब तक (cid:4)क उसमD कोई िभg तारीख िविनWदX न क( गई हो, साधारणतया अिधसूचना क(
तारीख के तीस (cid:4)दन के पeात् होगी ।
(6) इस िविनयम के उपबधं 5 पर 2ितकूल 2भाव डाले िबना, बोड (cid:27) ऐसे िहतधारक5 और सलाहकार
सिमितय5 से परामश(cid:27) कर सकेगा, जो वह िविनयम बनाने के िलए उपयु4 समझे ।
5555.... आआआआ++++थथथथकककक ििििवववव----षषेेषषेे णणणण
(1) बोड (cid:27) 2Lतािवत िविनयम5 का एक आ[थक िव\ेषण कराएगा ।
(2) आ[थक िव\ेषण के अंतग(cid:27)त िन9िलिखत बात े आएगं ी:-¹Hkkx IIIµ[k.M 4º Hkkjr dk jkti=k % vlk/kj.k 3
(क) 2Lतािवत िविनयम के कारण समाज, अथ-(cid:27) NवLथा, िहतधारक5 और बोड (cid:27) 1ारा 2Gय(cid:23)तः और
अ2Gय(cid:23)तः, दोन5 2कार स े उपगत होने वाली 2Gयािशत लागत और 2ोiभूत होने वाले फायद;े और
(ख) 2Lतािवत िविनयम संिहता के उklे य5 को (cid:4)कस 2कार आगे सुदढ़ृ करDगे ।
अअअअ(cid:23)(cid:23)(cid:23)(cid:23)ययययाााायययय 3333
ििििववववििििननननययययमममम%%%% ककककाााा ससससशशंंशशंं ोोोोधधधधनननन औऔऔऔरररर पपपपननुुननुु ++++ववववललललोोोोककककनननन
6666.... ििििववववििििननननययययमममम%%%% ककककाााा ससससशशंंशशंं ोोोोधधधधनननन
(cid:4)कसी िविनयम मD कोई संशोधन िविनयम 4 और िविनयम 5 के अनुपालन करके (cid:4)कया जाएगा ।
7777.... ििििववववििििननननययययमममम%%%% ककककाााा पपपपननुुननुु ++++ववववललललोोोोककककनननन
बोड (cid:27) 2Gयेक िविनयम का 2Gयेक तीन वषn मD पुन[वलोकन करेगा, जब तक (cid:4)क इससे पूव(cid:27) कोई पुन[वलोकन
आवlयक न हो और इन बात5 को oयान मD रखते 7ए (cid:4)कसी िविनयम का संशोधन या िनरसन करेगा -
(क) उसके उklे य;
(ख) उसके प-रणाम;
(ग) उसके काया(cid:27)Bवयन संबंधी अनुभव;
(घ) उसके 2वत(cid:27)न संबंधी अनभु व और संब` मुकदमेबाजी;
(ङ) वैिpक सव_3म प`ितयां, य(cid:4)द कोई ह;P
(च) प-रव[तत प-रवेश मD उसक( ससु ंगित; और
(छ) कोई अBय कारक, जो बोड (cid:27) 1ारा ससु ंगत समझा जाए ।
अअअअ(cid:23)(cid:23)(cid:23)(cid:23)ययययाााायययय 4444
(cid:25)(cid:25)(cid:25)(cid:25)कककक4444णणणण (cid:22)(cid:22) (cid:22)(cid:22)
8888.... अअअअ6666ययययाााावववव7777ययययकककक ििििववववििििननननययययमममम
जहां बोड (cid:27) क( यह राय ह ै (cid:4)क कितपय िविनयम अGयावlयक Vप से बनाए जाने अपेि(cid:23)त ह P या िवqमान
िविनयम5 मD संशोधन करना अपेि(cid:23)त ह ै वहां वह िविनयम 4 और िविनयम 5 के उपबंध5 का अनुसरण (cid:4)कए िबना
शासी बोड (cid:27) के अनुमोदन से, यथािLथित, िविनयम बना सकेगा या िवqमान िविनयम5 मD संशोधन कर सकेगा ।
9999.... ििििववववििििधधधध ककककेेेे ससससबबंंबबंं धधंंधधंं मममम 99 99ममममाााागगगगदद(cid:22)(cid:22)दद(cid:22)(cid:22) शशशशनन(cid:22)(cid:22)नन(cid:22)(cid:22)
बोड (cid:27) (cid:4)कसी Nि4 के अनुरोध पर या Lव2ेरणा स े Lवयं 1ारा बनाए गए िविनयम5 के उपबंध5 के साधारण
या िविनWदX LपXीकरण या माग(cid:27)दश(cid:27)न हते ु एक Lक(म के िलए इस शत(cid:27) के अधीन रहते 7ए उपबंध कर सकेगा (cid:4)क
ऐसा LपXीकरण या माग(cid:27)दश(cid:27)न और उसका अथा(cid:27)Bवयन तrय या िविध संबंधी (cid:4)कसी 2s के अवधारण के Vप मD नहI
(cid:4)कया जाएगा ।
डॉ. एम. एस. साu, अoय(cid:23)
III/4/
[िवdापन- असा. /315/18]
INSOLVENCY AND BANKRUPTCY BOARD OF INDIA
NOTIFICATION
New Delhi, the 22nd October, 2018
No. IBBI/2018-19/GN/REG038.—In exercise of the powers conferred by clause (s) of sub-section (1) of
section 196 read with section 240 of the Insolvency and Bankruptcy Code, 2016 (31 of 2016), the Insolvency and
Bankruptcy Board of India hereby makes the following regulations, namely:-4 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC. 4]
CHAPTER I
PRELIMINARY
1. Short title and commencement.
(1) These regulations may be called the Insolvency and Bankruptcy Board of India (Mechanism for Issuing
Regulations) Regulations, 2018.
(2) Save as otherwise provided, these regulations shall come into force on the date of their publication in the
Official Gazette.
(3) These regulations shall not apply to regulations made by the Board in respect of organizational matters.
2. Definitions
(1) In these regulations, unless the context otherwise requires,-
(a) “Advisory Committee” means an advisory committee constituted by the Board under section 197 of the
Code;
(b) “Code” means the Insolvency and Bankruptcy Code, 2016 (31 of 2016); and
(c) “Governing Board” means the Board of Members constituted under sub-section (1) of section 189 of the
Code.
(2) Words and expressions used and not defined in these regulations but defined in the Code shall have the
meanings respectively assigned to them in the Code.
CHAPTER II
MAKING OF REGULATIONS
3. Making regulations
The Board may make regulations to carry out the provisions of the Code in compliance with regulations 4 and 5.
4. Public Consultation
(1) For the purpose of making regulations, the Board shall upload the following, with the approval of the
Governing Board, on its website seeking comments from the publicÑ
(a) draft of proposed regulations;
(b) the specific provision of the Code under which the Board proposes regulations;
(c) a statement of the problem that the proposed regulation seeks to address;
(d) an economic analysis of the proposed regulations under regulation 5;
(e) a statement carrying norms advocated by international standard setting agencies and the international best
practices, if any, relevant to the proposed regulation;
(f) the manner of implementation of the proposed regulations; and
(g) the manner, process and timelines for receiving comments from the public.
(2) The Board shall allow at least twenty one days for public to submit their comments.
(3) The Board shall consider the public comments received and upload the same on its website along with a
general statement of its response on the comments, not later than the date of notification of regulations.
(4) If the Governing Board decides to approve regulations in a form substantially different from the proposed
regulations, it shall repeat the process under this regulation.
(5) The regulations shall be notified promptly after it is approved by the Governing Board and the date of their
enforcement shall ordinarily be after thirty days from the date of notification unless a different date is specified
therein.
(6) Without prejudice to provisions in this regulation, the Board may consult stakeholders and advisory
committees, as it may consider appropriate for making regulations.¹Hkkx IIIµ[k.M 4º Hkkjr dk jkti=k % vlk/kj.k 5
5. Economic Analysis
(1) The Board shall cause an economic analysis of the proposed regulations to be made.
(2) The economic analysis shall cover the following:-
(a) expected costs to be incurred by, and the benefits that will accrue to, the society, economy, stakeholders
and the Board, both directly and indirectly on account of the proposed regulation; and
(b) how the proposed regulations further strengthen the objectives of the Code.
CHAPTER III
AMENDMENT AND REVIEW OF REGULATIONS
6. Amendment of Regulations
An amendment to any regulations shall be made in compliance with the provisions of regulations 4 and 5.
7. Review of Regulations
The Board shall review each regulation every three years unless a review is warranted earlier and amend or repeal
any regulation, keeping in viewÑ
(a) its objectives;
(b) its outcome;
(c) experience of its implementation;
(d) experience of its enforcement and the related litigation;
(e) global best practices, if any;
(f) its relevance in the changed environment; and
(g) any other factor considered relevant by the Board.
CHAPTER IV
MISCELLANOUS
8. Urgent regulations
Where the Board is of the opinion that certain regulations are required to be made or existing regulations are required to
be amended urgently, it may make regulations or amend the existing regulations, as the case may be, with the approval of
Governing Board, without following the provisions of regulations 4 and 5.
9. Guidance on law
The Board may provide for a scheme for general or specific clarification or guidance on the provisions of regulations
made by it either on a request by a person or on its own, subject to the condition that such clarification or guidance shall
not be construed as determination of any question of fact or law.
Dr. M. S. SAHOO, Chairperson
[ADVT.-III/4/Exty./315/18]
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