"Insolvency & Bankruptcy Code, 2016 as on date is an offshoot of reports by several committees established to make Indian economy free from industrial sickness resulting in loss of production and to boost the economy

Every nation strives to avoid industrial sickness in order to have continuous production, distribution with boosting economy. In order to achieve this noble objective, in India several committees were constituted, out of which, Tiwari Committee, NL Mitra Committee, Justice Eradi Committee, J J Irani Committee and Banking Laws Reforms Committee are worth mentioning. On recommendation of Tiwari Committee, Sick Companies (Special Provisions) Act, 1986 was framed to bring together creditors for debt restructuring for revival of sick units. NL Mitra Committee tried to identify the deficiency in Indian laws in respect of cross border insolvency and suggested reforms. Justice Eradi Committee was formed to examine and to recommend measures for desirable changes in existing law relating to winding-up of companies so as to achieve transparency or fast dissolution. JJ Erani Committee proposed changes in the law to make speedy restructuring and liquidation process that culminated to re-codified Companies Act, 2013. Bankruptcy Law Reforms Committee headed by Dr. T K Viswanathan had objectives regarding insolvency law with lesser time involved, lesser loss in recovery and higher levels of debt financing across instruments. As on date, Insolvency and Bankruptcy Code, 2016 assures revival as a last chance within 180 or 270 days, failing liquidation in further 12 months.