Rajya Sabha, today has passed the Insolvency and Bankruptcy Code (Second Amendment) Bill 2020. The bill will suspend sections 7, 9 and 10 of IBC to prevent businesses from getting pushed into insolvency, with this intention Section 10A of the ordinance has also been brought in.
“Our intention of initiating corporate insolvency for matters that occurred during the lockdown, was to give immunity during this period. This is only for those which arrive during COVID period, amendment of section 66 that no obligation shall be filed by a resolution professional,” said Finance Minister Nirmala Sitharaman for the bill.
Today is the sixth day of Parliament monsoon session and the second bill, Banking Regulation (Amendment) Bill, 2020 is left for discussion.
