Date: 2026-05-20Category: Extra OrdinaryState: Union GovernmentCountry: India
In exercise of the powers conferred by 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 to further
**Executive Summary**
The Insolvency and Bankruptcy Board of India (Liquidation Process) (Third Amendment) Regulations, 2026, amends existing rules regarding the valuation of assets for micro, small, and medium enterprises (MSMEs). Effective from May 20, 2026, the notification streamlines the liquidation process by modifying the requirements for appointing registered valuers. The primary objective is to mandate a single valuer for MSME asset classes unless specific consultation and documentation requirements for a second valuer are met.
**Key Points / Main Content**
**Regulatory Framework and Effective Date**
* The regulations are officially titled the Insolvency and Bankruptcy Board of India (Liquidation Process) (Third Amendment) Regulations, 2026.
* The provisions come into force on the date of their publication in the Official Gazette (May 20, 2026).
* The document amends Regulation 35 of the principal 2016 liquidation process regulations.
**Valuation Standards for MSMEs**
* The amendment applies specifically to corporate debtors classified as micro, small, or medium enterprises under Section 7(1) of the MSMED Act, 2006.
* For these entities, the liquidator is now required to appoint only one registered valuer for each asset class of the corporate debtor.
**Conditions for Appointing Additional Valuers**
* A liquidator may appoint two registered valuers only after consulting with the consultation committee.
* If two valuers are appointed, the liquidator must record the specific reasons for this decision in writing.
**Impact Analysis**
**Stakeholder: Liquidators**
**Impact**
Liquidators are now legally bound to a default of one valuer per asset class for MSME corporate debtors, changing the standard operating procedure for liquidation.
**Action Required**
Liquidators must ensure they only appoint one valuer for MSMEs unless they undergo a formal consultation process with the consultation committee and provide written justification for a second appointment.
**Stakeholder: MSME Corporate Debtors**
**Impact**
The liquidation process for these entities may become more cost-effective and efficient due to the reduced requirement for multiple professional valuations.
**Action Required**
No direct action is required, but the estate of the corporate debtor will be subject to these streamlined valuation costs.
**Stakeholder: Registered Valuers**
**Impact**
Valuers may see a decrease in the number of appointments for MSME liquidation cases, as the default requirement has shifted from two valuers to one.
**Action Required**
No specific action required; however, valuers should be aware of the revised appointment criteria during the liquidation phase.
Key Entities Referenced
Insolvency and Bankruptcy Board of India (Liquidation Process) (Third Amendment) Regulations, 2026: The specific amending regulations that introduce changes to the appointment process of registered valuers for certain corporate debtors.
Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016: The principal regulations governing the liquidation process which are being amended by this notification.
Insolvency and Bankruptcy Code, 2016: The primary legislative framework under which the Board exercises its power to frame and amend liquidation regulations.
Micro, Small and Medium Enterprises Development Act, 2006: The act used to define the specific class of corporate debtors (MSMEs) for whom the liquidator may appoint only one registered valuer.
Insolvency and Bankruptcy Board of India: The primary regulatory body responsible for overseeing insolvency and liquidation processes and the issuer of this notification.
रजिस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99
सी.जी.-डी.एल.-अ.-20052026-272743
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CG-DL-E-20052026-272743
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ऄसाधारण
EXTRAORDINARY
भाग III—खण् ड 4
PART III—Section 4
प्राजधकार स ेप्रकाजित
PUBLISHED BY AUTHORITY
स.ं 329] नइ ददल्ली, बुधवार, मइ 20, 2026/विै ाख 30, 1948 ष 22, 1947
No. 329] NEW DELHI, WEDNESDAY, MAY 20, 2026/VAISAKHA 30, 1948 s 1947
भारतीय ददवाला और िोधन ऄक्षमता बोड ड
ऄजधसचू ना
नइ ददल्ली, 19 मइ, 2026
भारतीय ददवाला और िोधन ऄक्षमता बोड ड (समापन प्रदिया) (तीसरा सिं ोधन) जवजनयम, 2026
फा. स.ं अइ.बी.बी.अइ./2026-27/िी.एन./अर.इ.िी.142.—भारतीय ददवाला और िोधन ऄक्षमता बोड,ड
ददवाला और िोधन ऄक्षमता संजहता, 2016 (2016 का 31) की धारा 240 के साथ पठित धारा 196 द्वारा प्रदत्त िजियों
का प्रयोग करते हुए, भारतीय ददवाला और िोधन ऄक्षमता बोडड(समापन प्रदिया) जवजनयम, 2016 का और संिोधन करन े
के जलए जनम्नजलजखत जवजनयम बनाता ह,ै ऄथाडत्: -
1. (1) आन जवजनयमों का संजक्षप्त नाम भारतीय ददवाला और िोधन ऄक्षमता बोड ड (समापन प्रदिया) (तीसरा
संिोधन) जवजनयम, 2026 ह ै।
(2) य ेरािपत्र में ईनके प्रकािन की तारीख को प्रवृत्त होंगे ।
2. भारतीय ददवाला और िोधन ऄक्षमता बोड ड (समापन प्रदिया) जवजनयम, 2016 (जिन्ह ें आसमें आसके पश्चात ् “मूल
जवजनयम” कहा गया ह)ै के जवजनयम 35 म.ें ईप-जवजनयम (2) के पश्चात्, जनम्नजलजखत परन्तकु ऄंतःस्ट्थाजपत दकया िाएगा,
ऄथाडत:् -
“परन्तु पठरसमापक, सूक्ष्म, लघ ु और मध्यम ईद्यम जवकास ऄजधजनयम, 2006(2006 का 27) की धारा
7 की ईपधारा (1) के ऄधीन दकसी सूक्ष्म, लघु या मध्यम ईद्यम के रूप म ें वगीकृत दकसी कारपोरेट ऋणी की
बाबत कारपोरेट ऋणी के प्रत्येक अजस्ट्त वगड के जलए एक रजिस्ट्रीकृत मल्ू यांकक जनयुि करेगा िब तक दक
3613 GI/2026 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC.4]
पठरसमापक, परामि ड सजमजत से परामि ड के पश्चात्, ईन कारणों से, िो लेखबद्ध दकए िाएं, दो रजिस्ट्रीकृत
मूल्यांककों की जनयुजि करने का जवजनश्चय नहीं करती ।”
3. मूल जवजनयमों के जवजनयम 35 के ईप-जवजनयम (2) के परन्तकु में, “परन्त”ु िब्द के पश्चात,् “यह और दक” िब्द
ऄंतःस्ट्थाजपत दकए िाएगं े ।
रजव जमत्तल, ऄध्यक्ष
[जवज्ञापन-III/4/ऄसा./97/2026-27]
ठटप्पण : भारतीय ददवाला और िोधन ऄक्षमता बोडड(समापन प्रदिया) जवजनयम, 2016, भारत के रािपत्र, ऄसाधारण,
भाग 3, खंड 4, स.ं 460, तारीख 15 ददसम्बर, 2016 म ें ऄजधसूचना सं. अइ.बी.बी.अइ./2016-17/िी.एन./ अर.इ.िी.
005, तारीख 15 ददसम्बर, 2016 द्वारा प्रकाजित दकए गए थे और ईनमें ऄंजतम संिोधन भारत के रािपत्र, ऄसाधारण,
भाग 3, खडं 4, स.ं 136, तारीख 25 फरवरी, 2026 में ऄजधसूचना सं. अइ.बी.बी.अइ./2025-26/िी. एन./
अर.इ.िी.136, तारीख 25 फरवरी, 2026 द्वारा प्रकाजित भारतीय ददवाला और िोधन ऄक्षमता बोडड (समापन
प्रदिया)(दसू रा संिोधन) जवजनयम, 2026 द्वारा दकया गया था ।
INSOLVENCY AND BANKRUPTCY BOARD OF INDIA
NOTIFICATION
New Delhi, the 19th May, 2026
Insolvency and Bankruptcy Board of India (Liquidation Process) (Third Amendment) Regulations, 2026
F. No. IBBI/2026-27/GN/REG142.—In exercise of the powers conferred by 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 to further amend the Insolvency and Bankruptcy Board of India (Liquidation Process)
Regulations, 2016, namely: -
1. (1) These regulations may be called Insolvency and Bankruptcy Board of India (Liquidation Process) (Third
Amendment) Regulations, 2026.
(2) They shall come into force on the date of publication in the Official Gazette.
2. In the Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016, (hereinafter referred to
as „the principal regulations‟), in regulation 35, after sub-regulation (2), the following proviso shall be inserted,
namely: -
“Provided that, in respect of a corporate debtor classified as a micro, small or medium enterprise under sub-section
(1) of section 7 of the Micro, Small and Medium Enterprises Development Act, 2006 (27 of 2006), the liquidator
shall appoint one registered valuer for each asset class of the corporate debtor, unless the liquidator after
consultation with the consultation committee decides, for reasons to be recorded in writing, to appoint two
registered valuers.”
3. In the principal regulations, in regulation 35, in proviso to sub-regulation (2), after the word “Provided”, the word
“further” shall be inserted.”
RAVI MITAL, Chairperson
[ADVT.-III/4/Exty./97/2026-27]
Note : The Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016 were published vide
notification No. IBBI/2016- 17/GN/REG005, dated 15th December, 2016 in the Gazette of India,
Extraordinary, Part III, Section 4, vide No. 460 on 15th December, 2016 and were last amended by the
Insolvency and Bankruptcy Board of India (Liquidation Process) (Second Amendment) Regulations, 2026
published vide notification No. IBBI/2025-26/GN/REG136, dated the 25th February, 2026 in the Gazette of
India, Extraordinary, Part III, Section 4, No.136 on 25th February, 2026.
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.