Madhusudan Sahoo was appointed as chairperson of Insolvency and Bankruptcy Board of India. Sahoo is presently member of Competition Commission of India. The Appointments Committee of Cabinet has approved his appointment to the post for five years, an order issued by Department of Personnel and Training.

• As per the code, insolvency resolutions of companies and individuals will be completed within 180 days. Insolvency is a situation where an individual or a company is unable to repay outstanding debt.

• The board is mandated to regulate functioning of Insolvency Professionals, Insolvency Professional Agencies and Information Utilities under the Insolvency and Bankruptcy Code.

• The Board is being set up under the Insolvency and Bankruptcy Code, 2016 — approved by Parliament as well as notified by the government.Under the new law, employees, creditors and shareholders would have powers to initiate winding up process at the first sign of financial stress such as serious default in repayment of bank loan.

• In case of insolvency, the legislation provides for paying the salaries of workers for up to 24 months from the liquidation of assets. The board would have ten people, including the chairperson.