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Lok Sabha Passes Jan Vishwas Bill to De‑criminalise 717 Offences; IBC Amendments Approved — UPSC Current Affairs | April 1, 2026
Lok Sabha Passes Jan Vishwas Bill to De‑criminalise 717 Offences; IBC Amendments Approved
On April 1, 2026, the Lok Sabha passed the Jan Vishwas (Amendment of Provisions) Bill, de‑criminalising 717 offences across 79 Central Acts, while the Rajya Sabha approved amendments to the Insolvency and Bankruptcy Code and the CAPF (General Administration) Bill. These reforms aim to streamline regulation, boost ease of doing business, and strengthen the financial ecosystem, topics of high relevance for UPSC Polity and Economy papers.
The Lok Sabha approved the Jan Vishwas (Amendment of Provisions) Bill, 2026 by voice vote. The legislation targets 717 provisions for de‑criminalisation and 67 for amendment, seeking to remove outdated clauses and ease both business and daily life. In parallel, the Rajya Sabha cleared the Insolvency and Bankruptcy Code (IBC) Amendment Bill, 2026 and the CAPF (General Administration) Bill, 2026 . Key Developments Lok Sabha passed the Jan Vishwas Bill, amending 784 provisions of 79 Central Acts administered by 23 ministries. De‑criminalisation of 717 provisions and amendment of 67 provisions to promote ease of living. Rationalisation of over 1,000 offences deemed outdated or redundant. Rajya Sabha approved the IBC Amendment Bill, incorporating all 11 recommendations of the Lok Sabha Select Committee and an additional recommendation from the Ministry of Corporate Affairs. Finance Minister Nirmala Sitharaman highlighted IBC’s role in strengthening the banking sector and asset recovery. Opposition leader Mallikarjun Kharge demanded a select‑committee review of the CAPF Bill; opposition staged a walkout. Important Facts The Jan Vishwas Bill touches 23 ministries , indicating a broad‑based effort to streamline regulation. De‑criminalising minor offences reduces the burden on the judiciary and police, aligning with the government’s "ease of doing business" agenda. The IBC amendments aim to cut case backlog, expedite resolution, and improve credit flow, which is crucial for economic stability. UPSC Relevance Understanding these legislative changes is vital for GS2 (Polity) and GS3 (Economy). The de‑criminalisation drive reflects the government's regulatory reform strategy, a recurring theme in questions on governance and legal reforms. The IBC’s amendment underscores the importance of insolvency mechanisms in financial sector health, a key topic in economic policy. Moreover, the procedural aspects—voice vote, select committee demand, and opposition walkout—illustrate parliamentary functioning, essential for polity preparation. Way Forward Implementation will require coordination among the 23 ministries to revise rules and train enforcement agencies. Monitoring the impact on case pendency and business climate will be critical. For the IBC, the government must ensure that the added recommendation translates into faster asset recovery and reduced non‑performing assets. Politically, the opposition’s demand for a select committee on the CAPF Bill may lead to further scrutiny, testing the balance between executive action and legislative oversight.
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Overview

De‑criminalisation & IBC reforms signal India’s push for regulatory ease and financial stability

Key Facts

  1. Jan Vishwas (Amendment of Provisions) Bill, 2026 passed in Lok Sabha by voice vote in April 2026.
  2. The Bill amends 784 provisions across 79 Central Acts administered by 23 ministries.
  3. It de‑criminalises 717 provisions and amends 67 provisions, rationalising over 1,000 outdated offences.
  4. Rajya Sabha cleared the Insolvency and Bankruptcy Code (IBC) Amendment Bill, 2026 incorporating all 11 Lok Sabha Select Committee recommendations plus one from the Ministry of Corporate Affairs.
  5. Finance Minister Nirmala Sitharaman highlighted the IBC amendments as crucial for strengthening the banking sector and accelerating asset recovery.
  6. Opposition leader Mallikarjun Kharge demanded a select‑committee review of the CAPF (General Administration) Bill; opposition members staged a walkout.
  7. The reforms aim to reduce judiciary and police burden, improve ease of doing business, and expedite insolvency resolutions.

Background & Context

The Jan Vishwas Bill reflects the government's broader regulatory‑reform agenda to streamline laws, reduce criminalisation of minor acts and enhance ease of living, a key theme in GS‑2 (Polity) and GS‑3 (Economy). The IBC amendments target faster insolvency resolution, lower non‑performing assets and improve credit flow, underscoring the importance of a robust financial framework for economic stability.

UPSC Syllabus Connections

Prelims_GS•National Current AffairsGS2•Parliament and State Legislatures - structure, functioning, powers and privilegesPrelims_GS•Constitution and Political SystemGS3•Government Budgeting

Mains Answer Angle

GS‑2/GS‑3: Discuss how de‑criminalisation of minor offences and IBC reforms can together boost governance efficiency and financial health, evaluating the trade‑offs between regulatory ease and oversight.

Full Article

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Analysis

Practice Questions

Prelims
Easy
Prelims MCQ

Legislative reforms – de‑criminalisation

1 marks
3 keywords
GS3
Medium
Mains Short Answer

IBC amendment and financial sector health

5 marks
4 keywords
GS2
Hard
Mains Essay

Regulatory reforms and parliamentary functioning

20 marks
5 keywords
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