On 1 June 2026, the Insolvency and Bankruptcy Board of India notified the Insolvency and Bankruptcy Board of India (Bankruptcy Process for Personal Guarantors to Corporate Debtors) (Second Amendment) Regulations, 2026 to amend Insolvency and Bankruptcy Board of India (Bankruptcy Process for Personal Guarantors to Corporate Debtors) Regulations, 2019.
All you need to know:
-
If a personal guarantor is under bankruptcy, their bankruptcy trustee will have to work together with the resolution professional of the related company (corporate debtor). This is specifically about handling the transfer of assets during the company’s insolvency process.
-
Before any asset transfer is done, the bankruptcy trustee will have to get approval from the Committee of Creditors of the personal guarantor.
-
Once the Committee of Creditors approves the transfer, the bankruptcy trustee will have to make sure the transfer is properly disclosed.
-
The following Forms A and B have been removed.
Read more:
[IBBI (Bankruptcy Process for Personal Guarantors to Corporate Debtors) (Second Amendment) Regulations, 2026: Key Changes Explained, dt. 1 June 2026]
