An ordinance was recently promulgated to amend the Insolvency and Bankruptcy Code (IBC), 2016. The amendment is done to provide a pre-packaged resolution process for MSMEs.
The IBC,2016 aims to streamline and speed up the resolution process of failed businesses.
The code forms a common forum for debtors and creditors of all classes to resolve the insolvency.
The code mandates that the resolution process of a stressed company will have to be completed in a maximum of 270 days (180+90).
Various institutions created by IBC:
Insolvency Professionals: A specialised cadre of licensed professionals to administer the resolution process, manage assets of the debtor, and provide information to creditors assisting them in decision making.
Insolvency Professional Agencies: The insolvency professionals are registered with insolvency professional agencies.
Information Utilities: Creditors will report financial information of all the debt owed to them by the specified debtor.
Adjudicating authorities: The proceedings of the resolution process is adjudicated by
National Companies Law Tribunal (NCLT), for companies; and the
Debt Recovery Tribunal (DRT), for individuals.
Insolvency and Bankruptcy Board: It will regulate insolvency professionals, insolvency professional agencies and information utilities set up under the Code.
The Board consists of representatives of RBI, and the Ministries of Finance, Corporate Affairs and Law.
Polity and Governance
National Security Act, 1980 (NSA)
Why in News?
As per a report the National Security Act,1980 was invoked by the government to prevent the person from being released from judicial custody even if the accused had got bail.
About the National Security Act, 1980
It is a preventive detention
Preventive Detention involves the detainment of a person to keep him/her from committing future crimes and escaping future prosecution.
Under Article 22 (3) of the Constitution, preventive detention and restriction on personal liberty is allowed for reasons of state security and public order.
However, Article 22 (4) states that no law providing preventive detention shall authorise the detention of a person for a period longer than three months unless:
An Advisory Board reports sufficient cause for extended detention.
Such a person is detained in accordance with the provisions of any statute made by the Parliament.
Hence under this powers GoI has made NSA, 1980.
The NSA empowers both the Centre and State government to detain a person to prevent him from acting in any manner prejudicial to national security, public order, etc.
The maximum Period of Confinement: is 12 months,but this term can be extended if the government finds fresh evidence.
Detention under NSA is an administrative order passed either by the Divisional Commissioner or the DM and is not detention ordered by police based on specific allegations of violation of the law.
Issues In the NSA:
NSA can be invoked by DM-
Even if a person is in police custody.
Even if the person has been granted bail by a trial court, he can be immediately detained under the NSA.
The detained person does not have the right to move to a criminal court with a bail application.
Immunity for Passing and Carrying Out Order: The DM is protected under the Act from any prosecution, or any legal proceeding against him in issuance of the orders.
Art and Culture
Kathak Dance form
Why in News?
The Kathak maestro Birju Maharajhas published a poetry compilation ‘Brij Shyam Kahe’ for dance.
It is one of the eight classical dances of India.
‘Kathak’ word has been derived from the word Katha meaning story.
Its origin is said to be Kathakar (the one who tells a story) tradition of North India.
It was initially a temple or village performance where the dancers narrated stories from ancient scriptures (Kathakars).
With the spread of Bhakti movement, Kathak began evolving into a unique mode of dance in the fifteenth and sixteenth centuries.
The prominent theme is‘ legends of Radha-Krishna’ which were enacted in folk plays called rasa lila.
Kathak combines folk dance with the basic gestures of the kathak storytellers.
Kathak was performed in Mughal courts, where it acquired its present features and later developed into a dance form with a distinctive style.
Later, under the patronage of Wajid Ali Shah, the last Nawab of Awadh, it grew into a major art form of the region.
It is generally a solo performance; wherein the dancer often pauses to recite the verses followed by their execution through movement.
They focus more on footwork, skilfully controlling the movements.
It is mostly performed straight legged by dancers wearing ankle-bells.
Music: Hindustani/ North Indian Music (Kathak is the only form of classical dance where in Hindustani or the North Indian music is used).
Prominent dancers: Birju Maharaj, Sitara Devi.
Gharanas of Kathak:
The schools place different relative emphasis between aspects of a Kathak performance such as the acting versus footwork.
The Lucknow Gharana: Emphasizes on acting
Jaipur Gharana: Emphasizes on dance and footwork. The Jaipur gharana has traditionally had a strong spiritual flavor, covering a diverse range of ideas in both Vaishnavism and Shaivism.
Benares gharana: Considered to be the oldest gharana.
Places in News
Why in News?
Prince Hamzah bin Al Hussein, the former crown prince of Jordan has reportedly been placed under house arrest as a measure of crackdown on critics.
Jordan is an Arab country in the region of Western Asia.
Located on the East Bank of the Jordan River.
Bordering Countries: Saudi Arabia, Iraq, Syria, Israel, and Palestine.
Related Water Body: Dead Sea is located on its western borders.
Capital city: Amman.
Political System: Constitutional monarchy, but the king holds wide executive and legislative powers.
News in Short
Spices Board of India
Recently, Spices Board of India and UNDP India’s Accelerator Lab has signed a MoU to build a blockchain based traceability interface to enhance transparency in supply chain and trade of Indian spices.
Spices Board is one of the five Commodity Boards under the Ministry of Commerce & Industry.
The Spices Board was constituted as a statutory bodyin 1987 under the Spices Board Act, 1986.
It is an autonomous
Its mandate is the export promotion of the 52 scheduled spices and development of Cardamom.
Five commodity boards under (MoC&I):
Babu Jagjivan Ram
Recently, PM Modi has paid tributes to the freedom fighter and former Deputy PM Babu Jagjivan Ram on his birth anniversary.
Apart from being a member of Congress he was key in the foundation of the All India Depressed Classes League, which was dedicated to attainment of equality for untouchables, in 1934-35.
He advocated for social equality and equal rights for the Depressed Classes.
Post-independence he is remembered for his contribution in Indo-Pak war of 1971 as the then defence minister of the country.