Extent and commencement of the CODE [ Section 1 ] - Definition / Legal Terminology and Intorduction - IBC

Extent and commencement of the CODE Short title, extent and commencement ( under section 1 of the Insolvency and Bankruptcy Code) This Code may be called the Insolvency and Bankruptcy Code, 2016. It extends to the whole of India. This code came into an enforcement on 28th May 2016. However the Central Government appointment different date different provisions of this Code and any reference in any such provisions to the commencement of this code shall be construed as a reference to the commencement of that provisions. [ section 1(3) ] The Central Government Vide it Notification No. S.O. 21618(E) dated 5th August 2016 the Central Government hereby appoints the 5th of August, 2016 as the date on which the provisions of sections 188 to section 194 (both inclusive) of the said Code shall come into force. The Central Government vide its Notification No. S.O. 2746(E) dated 19th August, 2016 appointed the 19th days August, 2016 as the date on which the provisions of following section of the Code name into force:- (1) section 3 - (i) clause (1); (ii) clause (5); (iii) clause (22); (iv) clause (26); (v) clause (28); (vi) clause (37); (2) section 221 ; (3) section 222 ; (4) section 225 ; (5) section 226 ; (6) section 230 ; (7) section 232 ; (8) section 233 ; (9) sub-section (1) and clause (zd) of sub-section (2) of section 239 ; (10) sub-section (1) and clause (zt) of sub-section (2) of section 240 ; (11) section 241 ; and (12) section 242 . Object behind the enactment of the code The object behind the enactment of the Code lie in its preamble, which provides that it is an Act- To consolidated and Amend the laws relating to Reorganisation and Insolvency Resolution of Corporate persons, Partnership firms and Individuals In a time bound manner for maximization of assets of such persons to Promote entrepreneurship Availability of credit card and Balance the interests of all the stakeholders including Alteration in the order of priority of payment of Government dues and to establish an Insolvency and Bankruptcy Board of India and for matters connected therewith or incidental thereto.