Regulation 47 - Model time-line for liquidation process - Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016

1 [47. Model time-line for liquidation process. The following Table presents a model timeline of liquidation process of a corporate debtor from the liquidation commencement date, assuming that the process does not include compromise or arrangement under section 230 of the Companies Act, 2013 (18 of 2013) or sale under regulation 32A: Model Timeline for Liquidation Process Sl.No. Section / Regulation Description of Task Norm Latest Timeline (Days) (1) (2) (3) (4) (5) 1 Section 33 and 34 Commencement of liquidation and appointment of liquidator LCD 0 = T 2 Section 33 (1) (b) (ii) / Reg. 12 (1, 2, 3) Public announcement in Form B Within 5 days of appointment of liquidator. T + 5 3 Reg. 35 (2) Appointment of registered valuers Within 7 days of LCD T + 7 6 [3A Reg. 31A (6) First meeting of SCC Within 7 days of LCD T + 7 ] 4 3 [ Section 38 (1), Reg. 17, 18, 19, 20 and 21A ] Submission of claims; Within 30 days of LCD T + 30 Intimation of decision on relinquishment of security interest 5 Section 38 (5) Withdrawal/ modification of claim Within 14 days of submission of claim T + 44 6 Reg. 30 Verification of claims received under regulation 12(2)(b) Within 30 days from the last date for receipt of claims T + 60 7 Reg. 31A Constitution of SCC Within 60 days of LCD T + 60 8 Section 40 (2) Intimation about decision of acceptance/rejection of claim Within 7 days of admission or rejection of claim T + 67 9 Reg. 31 (2) Filing the list of stakeholders 5 [ **** ] Within 45 days from the last date of receipt of claims T + 75 10 Section 42 Appeal by a creditor against the decision of the liquidator Within 14 days of receipt of such decision T + 81 11 Reg. 13 Preliminary report to the AA Within 75 days of LCD T + 75 12 Reg. 34 Asset memorandum Within 7 [ 30/75 ] days of LCD T + 8 [ 30/75 ] 13 Reg. 15 (1), (2), (3), (4) and (5), and 36 Submission of progress reports to AA; Asset Sale report to be enclosed with every Progress Report, if sales are made First progress report Q1 + 15 Q-2 Q2 + 15 Q-3 Q3 + 15 Q-4 Q4 + 15 FY: 1 Audited accounts of liquidator's receipt payments for the financial year 15 th April 14 Proviso to Reg. 15 (1) Progress report in case of cessation of liquidator Within 15 days of cessation as liquidator Date of cessation+ 15 15 Reg. 37 (2, 3) Information to secured creditors Within 21 days of receipt of intimation from secured creditor Date of intimation + 21 16 Reg. 42 (2) Distribution of the proceeds to the stakeholders Within 3 months from the receipt of amount Date of Realisation + 90 17 Reg.10 (1) Application to AA for Disclaimer of onerous property Within 6 months from the LCD T + 6 months 18 Reg.10 (3) Notice to persons interested in the onerous property or contract At least 7 days before making an application to AA for 4 [ disclaimer ] . 19 Reg. 44 Liquidation of corporate debtor. Within one year T + 365 2 [ 20 Reg. 46 Deposit the amount of unclaimed dividends and undistributed proceeds Before submission of application under sub-regulation (3) of regulation 45 ] 21 Sch-1 Sl. No 12 Time period to H1 bidder to provide balance sale consideration Within 90 days of the date of invitation to provide the balance amount. [AA: Adjudicating Authority, LCD: Liquidation Commencement Date, SCC: Stakeholders Consultation Committee] ] ********* Notes 1. Inserted vide NOTIFICATION No. IBBI/2019-20/GN/REG047 dated 25-07-2019 2. Substituted vide Notification No. IBBI/2019-20/GN/REG053 dated 06-01-2020 before it was read as 20 Reg. 46 Apply to AA for order on unclaimed proceeds of liquidation or undistributed assets. Before dissolution order 3. Substituted vide Notification No. IBBI/2020-21/GN/REG062 dated 05-08-2020 before it was read as Section 38 (1) and (5), Reg. 17, 18 and 21A 4. Substituted vide Notification No. IBBI/2020-21/GN/REG062 dated 05-08-2020 before it was read as disclosure 5. Omitted vide Notification No. IBBI/2021-22/GN/REG079 dated 30-09-2021 before it was read as and announcement to public 6. Inserted vide Notification No. IBBI/2022-23/GN/REG094 dated 16-09-2022 , 7. Substitute vide Notification No. IBBI/2022-23/GN/REG094 dated 16-09-2022 , before it was read as :- 75 8. Substitute vide Notification No. IBBI/2022-23/GN/REG094 dated 16-09-2022 , before it was read as :- 75