Insolvency And Bankruptcy Code 2016 | Arbitral Proceedings- The Contrast

In the year 2016, Insolvency and Bankruptcy Code was introduced to consolidate all the laws associated with the Insolvency resolution of the corporate personalities with aim to realise the maximum value of assets for such corporate persons in a time-bound manner and to promote entrepreneurship, available of credit and to protect the interest of the stakeholders. With the development of Insolvency Laws in India, conflict between the Insolvency proceedings and Arbitral Proceedings has arisen as a grey area resulting in stalling the purpose with which both the regimes have been introduced in the corporate world.

Many jurisdictions around the world have settled the position of law in this regard however India is a new entrant to the list and limited guidance is available by the judiciary as well as the legislature. there is no provision in the IBC which prescribes di impact of CIRP on an arbitration. It only stipulates imposition of moratorium. similarly, the Indian