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Union of India - Section

Section 47 in Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016

47. [ Model time-line for liquidation process. [Inseretd by Notification No. IBBI/2019-20/GN/REG047, dated 25.7.2019 (w.e.f. 15.12.2016).]

- 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 ofliquidator 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
4 Section 38 (1) and (5), Reg. 17, 18 and 21A Submission of claims; Intimation of decision onrelinquishment of security interest Within 30 days of LCD T + 30
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 regulation12(2)(b) Within 30 days from the last date for receipt ofclaims 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 and announcementto public Within 45 days from the last date of receipt ofclaims T + 75
10 Section 42 Appeal by a creditor against thedecision 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 75 days of LCD T + 75  
13 Reg. 15 (1), (2), (3), (4) and (5), and 36 Submission of progress reports to AA; Asset Salereport to be enclosed with every Progress Report, if sales aremade 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 15th April
14 Proviso to Reg. 15 (1) Progress report in case of cessation ofliquidator 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 fromsecured 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 onerousproperty Within 6 months from the LCD T + 6 months
18 Reg.10 (3) Notice to persons interested in the onerousproperty or contract At least 7 days before making an application toAA for disclosure.  
19 Reg. 44 Liquidation of corporate debtor. Within one year T + 365
[20 [Substituted by Notification No. IBBI/2019-20/GN/REG053, dated 6.01.2020 (w.e.f. 15.12.2016).] 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 saleconsideration Within 90 days of the date of invitation toprovide the balance amount.  
[AA: Adjudicating Authority, LCD: Liquidation Commencement Date, SCC: Stakeholders’ Consultation Committee]