Sick Industrial Companies (Special Provisions) Act, 1985 along with BIFR and other allied Rules | Bare Acts | Universal Lexis Nexis | 2025 Edition

Introducing the Sick Industrial Companies (Special Provisions) Act, 1985! ????

?? Description:
The Sick Industrial Companies (Special Provisions) Act, 1985, commonly known as SICA, is a crucial legislation enacted to address the issue of sick companies in India. This act empowers the government to take necessary steps for the revival and rehabilitation of such industries, ensuring their sustainable growth in the long run. It provides a legal framework for the identification, investigation, and management of sick companies, protecting the interests of the shareholders, creditors, and employees.

?? Key Features:
? Revival and Rehabilitation: The Act aims to promote the revival of sick companies through various measures, such as financial assistance, debt restructuring, and management restructuring.
? Board for Industrial and Financial Reconstruction (BIFR): BIFR plays a vital role in implementing the provisions of SICA. It acts as a specialized body responsible for identifying and investigating sick companies, as well as formulating rehabilitation schemes.
? Applicability: The Act covers a wide range of industries, including manufacturing, mining, service sector, and infrastructure, providing comprehensive coverage for companies facing distress.