What is the Full Form of BIFR?

BIFR stands for "Board of Industrial and Financial Reconstruction"

BIFR represents the Board of Industrial and Financial Reconstruction. It was an office of the Government of India and a piece of the Department of Financial Services of the Ministry of Finance. It was set up under the Sick Industrial Companies (Special Provisions) Act (SICA), 1985. Its point was to resuscitate and restore wiped out endeavors and conclusion or liquidation of the conceivably wiped or non-practical modern organizations. It gave appropriate recovery bundles relying upon the idea of the issue.

Brief History of BIFR

The modern infection started in India in the pre-freedom days. Before all else, the Indian government attempted to counter it with some advertisement hawk measures including the Nationalization of Banks to give transitory alleviation.

• In 1975, RBI set up the London board. Following one year, HN Ray Committee was formed in 1976. These councils recommended a few estimates which were not acceptable.
• In 1981, the Tiwari Committee was established which proposed a thorough enactment to manage the mechanical infection. Therefore, the SICA appeared in 1985 and the BIFR was set up in January 1987 under SICA.
• In April 1987, an Appellate Authority for Industrial and Financial Reconstruction (AAIFR) was framed and the Government organizations were brought under the domain of SICA in 1991. Afterward, it covered both public and privately owned businesses that have modern endeavors.
• In 2001, the Companies (Amendment) Bill was presented as the public authority felt that the BIFR didn't meet its targets of preventive mechanical ailment.
• In 2003, the Sick Industrial Companies (Special Provisions) Repeal Act was established which supplanted the SICA and looked to supplant BIFR and AAIFR with National Company Law Tribunal (NCLT) and National Company Law Appellate Tribunal (NCLAT).
• On 1 December 2016 Government of India disintegrated BIFR through official notice and all procedures were to be alluded to the NCLT according to Insolvency and Bankruptcy Code.