Quick answer: The CIRP timeline under the IBC runs 180 days from the insolvency commencement date. The CoC can seek one 90-day extension with a 66% vote. Section 12(3) sets an outer limit of 330 days, including litigation time. Since 26 May 2026, the NCLT must decide admission within 14 days and plan approval within 30 days.
For banks and NBFCs, the CIRP timeline decides how quickly recovery happens. It also decides when a delayed process tips into liquidation. This guide explains each stage of the corporate insolvency resolution process (CIRP), the 330-day limit and 2026 changes.
What Is the CIRP Timeline Under the IBC?
Section 12 of the Insolvency and Bankruptcy Code, 2016 requires the CIRP to finish within 180 days of admission. The resolution professional may apply for one extension of up to 90 days. However, the committee of creditors (CoC) must first approve it by a 66% vote. In addition, the 2019 amendment capped the whole process at 330 days. That cap includes time lost in litigation.
The IBC (Amendment) Act, 2026 kept this structure. Yet it added two tribunal deadlines, which took effect on 26 May 2026. First, the NCLT must admit or reject a Section 7, 9 or 10 application within 14 days. Second, it must decide on a resolution plan within 30 days of receiving it. In both cases, the tribunal must record reasons for any delay.
CIRP Process in India: Stage-by-Stage Timeline
IBBI’s model timeline in Regulation 40A of the CIRP Regulations counts each step from the insolvency commencement date (T). The key stages are:
- Admission (within 14 days of filing): The NCLT admits the petition, declares the moratorium and appoints an interim resolution professional (IRP).
- Public announcement (T+3): The IRP invites claims from all creditors.
- Claims filed (T+14): Creditors submit proof of their claims.
- CoC formed and first meeting (by T+30): Financial creditors vote to confirm the IRP or replace them with a new RP.
- Valuers appointed (no later than T+47): Two registered valuers assess fair value and liquidation value.
- Information memorandum and invitation for plans: The RP shares data and invites expressions of interest.
- CoC vote on plans (by T+180): A resolution plan needs 66% of the CoC’s voting share.
- NCLT approval (within 30 days of filing the plan): If it rejects the plan, liquidation usually follows.
A missed claim deadline or delayed valuation pushes the whole process back. Lenders who file Section 7 petitions should therefore prepare documents early. Our guide on the Section 7 IBC application for financial creditors explains the filing stage in detail.
Can the 330-Day CIRP Limit Be Extended?
Yes, but only in exceptional cases. Tribunals expect the CoC and RP to explain every day of delay.
Key Case Law on CIRP Timelines
- CoC of Essar Steel v. Satish Kumar Gupta (SC, 15 November 2019): The Supreme Court struck down the word “mandatorily” in Section 12(3). It held that 330 days should ordinarily apply. Still, tribunals may extend time where only a short period remains and the delay is not the parties’ fault.
- Sibanarayan Chhotray v. Indian Overseas Bank (NCLAT, 17 December 2024): The NCLAT refused to exclude 252 days. It found no exceptional circumstances and upheld the liquidation order.
- Riddhi Siddhi Gluco Biols v. Sunit Jagdishchandra Shah (NCLAT, 7 March 2025): The NCLAT upheld a plan approved after 330 days. Valid extension grounds existed and little time remained.
- Bhushan Power and Steel (SC, 2025): In May 2025, the Supreme Court ordered liquidation, partly over timeline breaches. It recalled that ruling in July 2025 and later upheld JSW’s plan in September 2025.
What Banks and NBFCs Should Do
First, file claims with full documents before T+14. Next, attend every CoC meeting and vote on extensions within the window. Finally, track IBBI’s 2026 regulation changes on valuers and CIRP costs. If a timeline dispute arises, experienced IBC and NCLT lawyers in Delhi can help you protect your recovery.
Frequently Asked Questions
What is the maximum time limit for CIRP?
The CIRP must ordinarily end within 330 days of the insolvency commencement date. That period includes extensions and time lost in litigation.
How long does the NCLT take to admit an insolvency petition?
Since 26 May 2026, the NCLT must decide within 14 days. If it takes longer, it must record reasons.
Who can extend the CIRP period?
The NCLT can grant one 90-day extension. However, the RP must first obtain a 66% CoC vote and then apply to the tribunal.
What happens if CIRP is not completed within 330 days?
The NCLT generally orders liquidation. It may still allow a short extension in exceptional cases, as Essar Steel held.
Is CIRP time excluded during litigation?
Litigation time counts within the 330 days. Tribunals exclude extra time only in exceptional circumstances.
How long does the NCLT have to approve a resolution plan?
After the 2026 Amendment, the NCLT must approve or reject a plan within 30 days of receiving it.
Lex Pleaders advises banks, NBFCs and businesses on CIRP filings, claims, CoC strategy and timeline disputes before the NCLT and NCLAT. As a law firm in Delhi NCR, we act for lenders at every stage of insolvency. Write to us at lexpleadersindia@gmail.com to discuss your matter.
Disclaimer: This article offers general information only and does not constitute legal advice.