"We would like to move fast. Busineeses should not suffer because law is not made. We want laws to be made as fast as possible, in tune with market requirements, in-sync with the need and business should not suffer," IBBI Chairperson M S Sahoo said at an industry event on New Corporate Insolvency Regime held here.
He also said that in next two months IBBI will come out with a draft regulation and seek public comments on it.
He further said that like the Reserve Bank which has a practice of bringing out an annual update of its laws on July 1 every year, IBBI is also planning to bring an updated and revised regulations on the April 1 every year.
"We are thinking that whatever regulations we have we should get comments, and if there is an urgency we amend it and we will keep the door open for comments from April 1 to December 31.
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"I will see all comments from December 31 to March 31, take a view of whatever procedure what I have to follow and bring a updated revised regulations on the April 1 every year," he said.
About the time frame for the regulation, he said that will happen sooner than expected.
Looking to provide a faster exit mechanism for certain class of entities, the IBBI has come out with draft norms in this regard. The proposal is to fast-track the insolvency resolution process for three classes of entities -- startups, small companies and companies or Limited Liability Partnerships (LLPs).
As per the draft norms, a company or LLP which has not borrowed more than Rs 2 crore in any manner will be eligible for the fast-track process.