The IBC (Amendment) Act 2026 introduces a provision allowing 'one-time restoration' of the resolution process. In what specific circumstance is this applicable?

The IBC Amendment Act 2026 introduces a one-time restoration provision that allows the insolvency resolution process to be revived within defined timelines before liquidation is formally concluded. This is intended to prevent premature liquidation of businesses that may have viable resolution prospects, even when the initial CIRP did not yield an approved plan. It gives stressed enterprises one additional opportunity to find a resolution applicant or restructuring solution, thereby maximising value preservation and avoiding unnecessary asset breakup.