IBC Amendment Bill to be Tabled in Budget Session; Government to Accept All Recommendations

• The government is expected to accept all 11 recommendations from the Parliament's Select Committee on the IBC (Amendment) Bill.
• The bill, proposing 68 amendments to the 2016 Principal Act, will be tabled in the Budget Session, likely in February.
• Recommendations clarify fundamental principles like the Clean Slate Principle and asset distribution, aiming to remove confusion.
• The Clean Slate Principle ensures new owners start fresh, free from pre-existing liabilities not in the resolution plan.
• The Select Committee, led by BJP leader Baijayant Panda, also suggested NCLAT dispose of IBC appeals within three months.

Why It Matters: Government likely to adopt all Select Committee recommendations for the IBC Amendment Bill, clarifying key principles.