The IBBI released a discussion paper on 12 August 2025 to rationalise assignment limits for Insolvency Professionals. The proposed framework introduces unified caps across IRP, RP, and Liquidator roles to curb delays, ensure fair distribution of assignments, and provide equitable opportunities for new IPs.

NSIC signed MoUs with Axis Bank, IndusInd Bank, Karnataka Bank, AU Small Finance Bank, and Dhanlaxmi Bank on 11 August 2025 under its MSME Credit Facilitation Program. The collaboration is expected to expand financial inclusion, strengthen credit accessibility, and foster growth in the MSME sector.

The RBI announced a major reform in cheque settlement, introducing real-time clearance from October 4, 2025. The new system will reduce settlement to hours through a phased rollout, ensuring faster liquidity and modernizing India’s banking system.

The proposed IBC amendments aim to strengthen revival mechanisms by permitting partial asset sales and granting insolvency tribunals a 120-day second opportunity for resolution after the expiry of the 330-day statutory limit, thereby prioritising business continuity over liquidation.

The Supreme Court ruled that under the IBC, the limitation for filing an appeal before the NCLAT starts from the date of pronouncement of the NCLT order, and that appeals filed without a certified copy or timely condonation are defective and time-barred.

NCLAT has reaffirmed that Section 95 IBC applications must be filed within three years from the issuance of the recovery certificate, under Article 137 of the Limitation Act, and that the twelve-year limitation for suits does not apply to insolvency matters.

The NCLAT reaffirmed the absolute discretion of the Committee of Creditors to adopt or forego the Swiss Challenge Mechanism under the IBC and RFRP, validating its non-justiciable commercial approval of a compliant resolution plan.

NCLAT held that a secured creditor’s failure to comply with Regulation 21A results in the secured assets forming part of the liquidation estate, allowing the Liquidator to validly sell them through auction.

NCLAT has reaffirmed that mere allegations against a Successful Resolution Applicant, if not impacting statutory compliance under Section 30(2) of the IBC, cannot be a ground to question the CoC’s commercial wisdom in approving a resolution plan.

The Supreme Court held that the Section 14(1)(d) moratorium under the IBC does not prevent the corporate debtor from voluntarily surrendering leased property during CIRP where the CoC, exercising its commercial wisdom, decides retention is unnecessary, thereby upholding the binding nature of CoC decisions.