Naveen Kumar, a Financial Creditor filed an Insolvency Application under Section 7 of Insolvency and Bankruptcy Code, 2016 against M/s ABC Private Ltd, Corporate Debtor (Defaulter) before the National Company Law Tribuna

Section 12 of the Code states that any Insolvency Resolution Process shall be completed within a period of one hundred and eighty days from the date of admission of the application to initiate the process. Accordingly, Corporate Insolvency Resolution Process should be completed by 6th January, 2019 . However, the NCLT may on an application made by the Resolution Professional, under a resolution passed by the Committee of Creditors, by a vote of 66% of voting shares, after consideration provide extension which shall not exceed 90 days. Further, Insolvency and Bankruptcy Code (Amendment) Act, 2019 w.e.f. 6th August, 2019, has added a proviso to section 12(3) stating that corporate insolvency resolution process shall mandatorily be completed within a period of three hundred and thirty days from the insolvency commencement date, including any extension of the period of corporate insolvency resolution process granted under this section and the time taken in legal proceedings in relation to such resolution process of the corporate debtor.