Notification/Circular No. F. No. IBBI/2026-27/GN/REG142 dated May 19, 2026
Applicable Act/Rule: Insolvency and Bankruptcy Code, 2016 (31 of 2016); Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016
Applicable Section/Rule: Section 196 read with Section 240 of the Insolvency and Bankruptcy Code, 2016
Effective Date: May 19, 2026
Insolvency and Bankruptcy Board of India (IBBI) issued the Liquidation Process (Third Amendment) Regulations, 2026 on May 19, 2026, to further amend the IBBI (Liquidation Process) Regulations, 2016. The Principal Regulations were originally published on December 15, 2016, and were last amended by the Second Amendment Regulations, 2026 published on February 25, 2026.
The amendment inserts a new proviso after sub-regulation (2) of Regulation 35 of the Principal Regulations. The proviso, pasted as provided, reads as under:
“Provided that, in respect of a corporate debtor classified as a micro, small or medium enterprise under sub-section (1) of section 7 of the Micro, Small and Medium Enterprises Development Act, 2006 (27 of 2006), the liquidator shall appoint one registered valuer for each asset class of the corporate debtor, unless the liquidator after consultation with the consultation committee decides, for reasons to be recorded in writing, to appoint two registered valuers.”
In addition, in the existing proviso to sub-regulation (2) of Regulation 35, the word “further” is inserted after the word “Provided”, consequential to the insertion of the new proviso above.
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