The Insolvency and Bankruptcy Code, 2016
IBBI (Voluntary Liquidation Process) Regulations, 2017
Chapter VII-Proceeds of Liquidation and Distribution of Proceeds
Regulation 35: Distribution.
35. (1) The liquidator shall distribute the proceeds from realization within 1[thirty days] from the receipt of the amount to the stakeholders.
(2) The liquidation costs shall be deducted before such distribution is made.
(3) The liquidator may, with the approval of the corporate person, distribute amongst the stakeholders, an asset that cannot be readily or advantageously sold due to its peculiar nature or other special circumstances.
References
1. Substituted by IBBI (Voluntary Liquidation Process) (Amendment) Regulations, 2022 vide Notification No. IBBI/2022-23/GN/REG.081 dated 5th April, 2022, w.e.f. 05.04.2022, for the words “six months“.
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