Orders of Adjudicating Authority in respect of extortionate credit transactions
Section 51 of the Insolvency and Bankruptcy Code, 2016 deals with orders of Adjudicating Authority in respect of extortionate credit transactions. Where the Adjudicating Authority after examining the application made under sub-section (1) of section 50 is satisfied that the terms of a credit transaction required exorbitant payments to be made by the corporate debtor, it shall, by an order— (a) restore the position as it existed prior to such t The Act was enacted on 28 May 2016.
Where the Adjudicating Authority after examining the application made under sub-section (1) of section 50 is satisfied that the terms of a credit transaction required exorbitant payments to be made by the corporate debtor, it shall, by an order—
(a) restore the position as it existed prior to such transaction;
(b) set aside the whole or part of the debt created on account of the extortionate credit transaction;
(c) modify the terms of the transaction;
(d) require any person who is, or was, a party to the transaction to repay any amount received by such person; or
(e) require any security interest that was created as part of the extortionate credit transaction to be relinquished in favour of the liquidator or the resolution professional, as the case may be.
Section 51, The Insolvency and Bankruptcy Code, 2016 (Act 31 of 2016).
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Questions about Section 51
What does Section 51 of the Insolvency and Bankruptcy Code deal with?
Section 51 of the Insolvency and Bankruptcy Code is headed "Orders of Adjudicating Authority in respect of extortionate credit transactions". Where the Adjudicating Authority after examining the application made under sub-section (1) of section 50 is satisfied that the terms of a credit transaction required exorbitant payments to be made by the corporate debtor, it shall, by an order— (a) restore the position as it existed prior to such t
How do I find court cases under Section 51 of the Insolvency and Bankruptcy Code?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Insolvency and Bankruptcy Code 51, section 51 Insolvency and Bankruptcy Code, section 51 of the Insolvency and Bankruptcy Code. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.
What should I read with Section 51 of the Insolvency and Bankruptcy Code, and has it changed?
Its own text turns on section 50 (Extortionate credit transactions), so none of them can safely be read on its own. 1 other provision in this corpus refers back to it. One instrument names it without being made under it, most recently IBBI (Liquidation Process) (Fourth Amendment) Regulations, 2020 (2020).
When was Section 51 of the Insolvency and Bankruptcy Code enacted?
Section 51 of the Insolvency and Bankruptcy Code, cited as Insolvency and Bankruptcy Code 51, was enacted on 28 May 2016 as Act 31 of 2016. It is in force as at the date shown on this page.
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Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 16 Oct 2026. This page is not a substitute for legal advice.