r 1 //./ r 2 Capital Market 08 Dispute Resolution 15 Fintech 20 International Trade/ WTO 25 Ministry of Corporate Affairs (MCA) 30 Restructuring and Insolvency 39 Sports and Gaming 45 White Collar Crime 03 Competition Law 11 Employment Law 17 Infrastructure and Energy 23 Media and entertainment 28 RBI & FEMA 36 RERA 42 Technology 47 r 3 CIRCULAR ON ONE-TIME RELAXATION WITH RESPECT TO VALIDITY OF SEBI OBSERVATIONS1 The Securities and Exchange Board of India (“SEBI”), vide Circular dated April 07, 2026, has introduced a one-time relaxation regarding the validity of observation letters iss

1. Introduction

India’s insolvency laws have moved from a complex, debtor-friendly system to a simpler, creditor-focused approach with the Insolvency and Bankruptcy Code (IBC). The 2026 Amendment Act builds on the 2016 IBC to fix problems like delays and misuse, aiming for quicker and more effective resolutions.

The Old Insolvency Regime

A 2 (two) judge bench of the Hon’ble Supreme Court of India (“Supreme Court”), in State Bank of India and Ors. vs. Doha Bank Q.P.S.C.

Introduction

The Hon’ble Supreme Court’s decision in Ujaas Energy Ltd. v. West Bengal Power Development Corporation Ltd., Civil Appeal No. 3619 of 2026, decided on 20 March 2026, is an important pronouncement at the intersection of Insolvency Law and Arbitration  

Factual Background

MONTHLY NEWSLETTER ARBITRATION Rajiv Gaddh v. Subodh Parkash Civil Appeal No. of 2026(@ SLP (C) No. 4430 of 2025) M/s. MCM Worldwide Private Limited v. M/s. Construction Industry Development Council Civil Appeal No. of 2026 (@ SLP (C) No. 33075 of 2025) CIVIL LAW Reliance Eminent Trading and Commercial Private Limited v. Delhi Development Authority, Civil Appeal No. of 2026 (Arising Out of S.L.P. (Civil) No. 22100 of 2025) State Bank of India v. Amit Iron Private Limited and Others, Civil Appeal Nos. 4243-4244 of 2026 (@ Special Leave Petition (C) Nos.

Nearly a decade after the Insolvency and Bankruptcy Code, 2016 ("IBC") came into force, the Insolvency and Bankruptcy Code (Amendment) Bill, 2026, received the assent of the President of India on 6^th  April 2026 and shall come into force on such date as the Central Government notifies the same in the Official Gazette. The Amendment Bill is being introduced to resolve certain practical challenges that are causing delays at the admission stage, uncertainty in distribution outcomes, increasing litigation, and issues in implementation of an approved resolution plans.

On 30^th March 2026, the Lok Sabha passed the Insolvency and Bankruptcy Code (Amendment) Bill, 2025 which was subsequently enforced on 6^th April 2026. The Amendment Act of 2026 seeks to introduce reform measures to address practical challenges within the system and develop Indian insolvency law in line with global best practices. The amendment includes a host of measures aimed at reducing delays, strengthening creditor empowerment and creating a more investor-friendly framework.

The Insolvency and Bankruptcy Code, 2016 (“IBC”) is intended to be sector agnostic and to provide a uniform framework for corporate insolvency resolution and liquidation for diverse businesses regardless of their industry sector. Nevertheless, there are challenges under the IBC framework for companies operating in certain industries, owing in large part to the nature of their value generating assets and the sector specific regulations governing their industry.

1. INTRODUCTION

The Insolvency and Bankruptcy Code (Amendment) Act, 2026 (the "AmendmentAct"), represents the most sweeping reform of India's insolvency regime since the enactment of the Insolvency and Bankruptcy Code, 2016 (the "Principal Code").