What is the maximum default amount eligible under Pre-Packaged Resolution process?

Pre-Packaged Insolvency Resolution Process ( PPIRP) In recognition of the role of MSMEs and to offer them some respite from the economic challenges due to COVID-19, a pre-packaged insolvency resolution process (PPIRP) was introduced by the Ministry of Law and Justice, GOI, by way of the Insolvency and Bankruptcy Code (Amendment) Act, 2021 dated April 4, 2021. Chapter III-A, sections 54A to 54P was introduced in Part II of IBC. Applicability • Corporate Debtor to be classified as a micro, small or medium enterprise (MSME) under Section 7(1) of the Micro, Small and Medium Enterprises Development Act, 2006 Threshold • Default amount is 10 lakhs, not be more than one crore rupees. For defaults of higher amounts, the MSME would have to initiate the corporate insolvency resolution process ("CIRP") under the Insolvency and Bankruptcy Code, 2016 (CIRP can be initiated with minimum 1 lakh default amount) Timeline

• The PIRP is required to be completed within a period of 120 days from the Pre-Packaged Insolvency Commencement Date (under CIRP time is 180 days with mandatory 330 days limit)