Recent Developments in the Insolvency and Bankruptcy Act, 2016
Karnataka State Law University, Hubballi, India
Volume II – Issue I, 2020
The sole purpose of the law making is for the welfare of the society. The executives of our country have also made the recent developments in the law for the welfare of the society in the time of this pandemic. These efforts are made for the welfare of businesses across the country which directly affects the general public. They have tried their best to provide relief to all the classes of society which has suffered during this pandemic whether it is general public or the corporate or businesses across the country. They have provided the relaxation to all the classes from which they can find difficulty because of this pandemic. An example of such a relief is the recent amendments in the Insolvency and Bankruptcy Act which provides for increase in threshold value. One of the provision of this act deals with the minimum amount of default that can be done by a debtor for the initiation of bankruptcy proceedings. The amount that is prescribed for such proceedings 1 lakh but it can be altered to a maximum value of 10 million with the proper amendments done by the government. This is only an example while many such amendments of same nature are done by the government in this act which shall be entertained in this paper.