IBBI is the regulator that keeps India’s company-rescue process fair. The law is the Insolvency and Bankruptcy Code. IBBI, the Insolvency and Bankruptcy Board of India, polices it.
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What is IBBI?
IBBI stands for the Insolvency and Bankruptcy Board of India. It is the regulator for the insolvency system. Its head office is in New Delhi.
When was it set up?
- The Government set 1 October 2016 as the date of establishment.
- It did so under Section 188 of the Insolvency and Bankruptcy Code, 2016.
- The notification was S.O. 3110(E), dated 1 October 2016.
Whom does it regulate?
- Insolvency professionals.
- Insolvency professional agencies.
- Information utilities.
- It also registers and regulates valuers and valuer organisations.
What else does it do?
It frames regulations for how insolvency and liquidation cases run. These cover companies and individuals.
Sources: MCA notification S.O. 3110(E), via Taxheal; IBBI, Governing Board page.
Is IBBI the same as the IBC?
No. The two names are often mixed up.
What is the difference?
| Name | What it is | Date |
|---|---|---|
| IBC | The law passed by Parliament | Presidential assent on 28 May 2016 |
| IBBI | The regulator the law created | Established 1 October 2016 |
Which came first?
The law came first. The regulator followed about four months later. Do not call IBBI “the law”. Do not call the IBC “the regulator”.
How can a question trap you?
An option may offer 2015 or 2017 beside 2016. Learn the exact year, 2016, for both the Code and the Board.
Sources: PRS, Insolvency and Bankruptcy Code, 2016; MCA notification S.O. 3110(E), via Taxheal.
Who sits on the Governing Board?
A Board runs IBBI. It is not run by one official.
How is the Board made up?
- One Chairperson.
- Three ex-officio members from the Finance, Corporate Affairs and Law Ministries.
- One member nominated by the Reserve Bank of India.
- Five members nominated by the Central Government.
- At least three of those five must be whole-time.
- The total is 10.
Who is the Chairperson now?
Ravi Mital led IBBI until his term ended in September 2026. Jayanti Prasad, a Whole-Time Member, took additional charge as Chairperson from 13 September 2026. That charge lasts until 20 November 2026, the end of his own tenure, or until a new Chairperson joins.
Why does this matter for exams?
Office-holders change. A name learned last year may be wrong today. Learn the structure first.
Sources: IBBI, Governing Board page; IBC Laws, IBBI press release of 21 September 2026.
What is the Creditor-Initiated Insolvency Resolution Process?
It is a new route added in 2026. Its short form is CIIRP.
How does it work?
- It sits in a new Chapter IV-A of the Code, Sections 58A to 58K.
- Only specified financial creditors, listed by the Government, can start it.
- They must hold at least 51% of the financial debt by value.
- They must give the debtor 30 days’ notice first.
- The existing management stays in charge, under a resolution professional.
Why was it added?
It aims for a faster and less court-heavy route. The usual process goes through the National Company Law Tribunal (NCLT) from the start.
Is it already usable?
Not clearly. The Government has to notify which creditors qualify. IBBI also published a discussion paper on draft CIIRP regulations on 15 April 2026. Check the Gazette before treating it as live.
Sources: LiveLaw, IBC Amendment Act 2026 analysis; SCC Online, IBC Amendment Act 2026 explained.
Did CIIRP replace the old process?
No. It sits beside it.
How do the two routes differ?
| Feature | CIRP | CIIRP |
|---|---|---|
| Who starts it | Financial or operational creditor, or the debtor, through the NCLT | Specified financial creditors holding at least 51% of debt |
| Control | A resolution professional takes over management | Existing management stays in place |
| Status | The standard route | A new additional route |
What is the memory hook?
Think “CIRP plus CIIRP”. Both routes exist. A question that says the 2026 Act scrapped the old process is wrong.
Sources: SCC Online, new Chapter IV-A and CIRP; LiveLaw, CIIRP features.
What does the Act say about group insolvency?
Large businesses often run as many linked companies. The 2026 Act starts to address that.
What did the Act add?
- It adds a chapter on group insolvency.
- It lets the Central Government make rules for coordinated proceedings of related companies.
- It does the same for cross-border cases in Sections 240B and 240C.
Can related companies be resolved together today?
Not yet by the Act alone. The Act does not set out the procedure. It authorises the Government to frame rules. The working details come later.
What is the exam trap?
“The Act already lets a whole group be resolved as one case” is too strong. The correct word is “enables”.
Sources: SCC Online, group insolvency chapter; LiveLaw, Sections 240B and 240C.
What is the timeline of the 2026 reforms?
Parliament passed the Amendment Act in April 2026. The details are still being rolled out.
What are the key dates?
- 1 April 2026: the Rajya Sabha passed the Bill.
- 6 April 2026: the President gave assent. It is Act No. 6 of 2026.
- 15 April 2026: IBBI issued nine discussion papers, including draft CIIRP regulations.
- 22 May 2026: a notification fixed 26 May 2026 as the start date for many provisions.
- July 2026: IBBI issued a further discussion paper on strengthening its regulations.
What changed for admission?
The adjudicating authority must admit or reject a financial creditor’s application within 14 days. It looks at default, completeness and pending disciplinary proceedings against the proposed professional.
What is not yet in force?
Provisions not named in the notification start on a later date. Check each provision before you rely on it.
Sources: Taxmann, notification S.O. 2625(E); Mondaq, MCA notifies 26.05.2026 as commencement date.
IBBI, discussion papers of 15 April 2026; Law.Asia, IBBI proposes changes, July 2026.
SCC Online, IBC Amendment Act 2026 explained; IBC Laws, President assents to the Amendment Act.
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Native Practice
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