Startups as Corporate Debtors – the change

On 30th August 2022, vide a notification (“new notification”), the Government of India amended an old notification issued by Ministry of Corporate Affairs dated 14th June 2017 (“old notification”). Where the old notification listed eligible corporate debtors who could apply by way of a fast-track corporate insolvency resolution process which included startups, the new notification replaces the reference to the definition of startups by bringing it in line with the prevailing definition of startups issued vide the notification dated 19th February 2019. You may refer to our previous post on the subject titled “Re-gearing Startups”, to understand how startups are defined.

Guest Author: Nishigandha Bhadange She is a graduate of the Government Law College, Mumbai.