Section 57 IBC: Manner of Initiating Fast Track CIRP - Omitted
Section 57 formerly prescribed the manner of initiating the Fast Track Corporate Insolvency Resolution Process under Chapter IV of Part II of the Insolvency and Bankruptcy Code, 2016. It permitted a creditor or corporate debtor, as applicable, to file the application with proof of default and information establishing eligibility for the fast track process. Chapter IV, comprising Sections 55 to 58, was omitted in 2026.
Former Section 57 - Manner of Initiating Fast Track Corporate Insolvency Resolution Process
An application for fast track corporate insolvency resolution process may be filed by a creditor or corporate debtor as the case may be, alongwith-
(a) the proof of the existence of default as evidenced by records available with an information utility or such other means as may be specified by the Board; and
(b) such other information as may be specified by the Board to establish that the corporate debtor is eligible for fast track corporate insolvency resolution process.
Who Could File Under Former Section 57?
The former provision allowed an application for fast track corporate insolvency resolution process to be filed by a creditor or the corporate debtor, as the case might be. The applicant also had to satisfy the statutory evidentiary and eligibility requirements prescribed by Section 57 and the applicable regulatory framework.
Proof of Existence of Default
Former Section 57(a) required proof of the existence of default. The provision expressly recognised records available with an information utility and also allowed proof by such other means as could be specified by the Insolvency and Bankruptcy Board of India.
Meaning of Information Utility
An information utility under the IBC is a regulated information service provider that receives, authenticates, stores and provides access to financial information in accordance with the Code and applicable regulations. In the former Section 57 framework, information utility records were specifically recognised as evidence of default.
Eligibility Information
Former Section 57(b) required such additional information as could be specified by the Board to establish that the corporate debtor was eligible for the fast track process. Eligibility was linked to the former Section 55 framework and the categories of corporate debtors covered by it.
Relationship with Former Sections 55, 56 and 58
Former Section 55 established the fast track process and identified the statutory basis for eligible categories. Former Section 56 prescribed the time period for completion, while former Section 58 dealt with application of Chapter II provisions to the former fast track framework.
Effect of the 2026 Amendment
The Insolvency and Bankruptcy Code (Amendment) Act, 2026 omitted the former Chapter IV of Part II. As a result, Sections 55, 56, 57 and 58 no longer constitute the operative fast track corporate insolvency resolution framework. Current insolvency applications must be examined under the provisions presently applicable to the relevant process.
Official Legal Resources
For the current Code, the Insolvency and Bankruptcy Code (Amendment) Act, 2026, commencement notifications, regulations and circulars, refer to the official Insolvency and Bankruptcy Board of India Legal Framework and the Government of India's India Code.
This page preserves the former Section 57 text for legal and historical reference while identifying its current omitted status. The latest statutory text, commencement notifications, regulations and binding judicial decisions should be checked for any proceeding.