Amended IT Rules 2026: One of the Key Compliances about using AI in Content Creation

On February 20, 2026, the new Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021, which primarily seek to regulate deepfakes and AI-generated content, will go into effect. Social media sites and their intermediaries are subject to far stricter compliance requirements under the updated framework. The new guidelines require platforms to remove or prevent access to illegal content—particularly synthetically generated information (SGI), such as deepfakes and AI-manipulated material—within three hours of receiving a court or government order, a significant reduction from the previous 36-hour period. Content with illicit non-consensual intimate photographs must be removed within 2 hours of a user complaint, rather than the previous 24-hour deadline. The revisions have also shortened the grievance redressal acknowledgement from 15 to 7 days.

Furthermore, intermediaries are now required to clearly identify AI-generated content and provide persistent metadata that identifies its source. Additionally, platforms are required to inform users of the repercussions of noncompliance, such as account suspension or content removal, at least once every three months. In the updated standards, “synthetically-generated information” is defined specifically, and the regulatory framework is brought into compliance with the Bharatiya Nyaya Sanhita, 2023.

SC Endorses NBCC Intervention in Supertech Projects, Prioritises Homebuyers While Deferring Creditor Claims

While rejecting to change the appellate tribunal’s methodology, the Supreme Court recently rejected a number of appeals contesting the National Company Law Appellate Tribunal’s (NCLAT) orders to include NBCC (India) Ltd in the completion of Supertech Ltd’s stalled housing projects. According to a panel of Justices, there was no reason to intervene with the NCLAT’s decision to establish a system to safeguard homeowners’ rights and guarantee the completion of long-delayed projects. The court also directed that no court or tribunal issue interim measures prohibiting NBCC development, while adding that claims from creditors and statutory bodies would be considered separately at a later date.

Income Tax Reform 2026: What the Draft Rules and CBDT’s Official Navigator Mean for Compliance Teams

The Central Board of Direct Taxes (CBDT) has made the Draft Income Tax Rules, 2026, available for public review and discussion in anticipation of the Income Tax Act of 2025, which is scheduled to go into effect on April 1, 2026. The CBDT has also created an official navigator that links each of the 333 draft rules to the relevant provisions under the current 511 rules of the Income Tax Rules, 1962 in order to help stakeholders with the transition.

UP RERA Introduces Compulsory Training Framework for Agent Registration and Renewals

A new and required Training & Certification Framework for Real Estate Agents was recently released by the Uttar Pradesh Real Estate Regulatory Authority (UP RERA), and it will take effect on January 5, 2026. The rule stipulates that before filing and processing new applications for registration, renewal, or modification, real estate agents must finish their training and certification. It specifies that no individual, partnership firm, LLP, corporation, or society may seek registration or change their status unless they have completed the requisite training program and passed the competency testing.

SEBI Publishes Master Circulars and Consolidating Guidance for Investment Agents, Research Analysts, Share Transfer Agents and Registrars

In order to consolidate all pertinent instructions and guidelines for these intermediaries into a single reference document, the Securities and Exchange Board of India (SEBI) recently released three distinct master circulars for Investment Advisers, Research Analysts, and Registrars to Issue and Share Transfer Agents (RTAs).SEBI noted that the master circulars were issued with an aim to enable regulated enterprises and market participants to get all operating instructions in one location. With the issuance of the master circulars, the earlier circulars listed in the appendices are repealed to the degree that they affect the corresponding intermediaries. However, acts executed, rights accrued, liabilities incurred, and processes initiated under the withdrawn circulars will remain in effect.

NCLAT says Corporate Guarantor Cannot Evade Section 7 Proceedings by Terming Liability ‘Contingent’

A corporate guarantor cannot evade bankruptcy proceedings under Section 7 of the Bankruptcy and Bankruptcy Code by designating its guarantee obligation as a “contingent liability” on its balance sheets, according to a ruling by the National Company Law Appellate Tribunal (NCLAT) in Delhi. The tribunal noted that the acceptance of liability, not the accounting description employed in the books, is what counts for limitation, and that a guarantor’s liability is legally coextensive with that of the principal borrower.

Income Tax Act, 2025 Faces Constitutional Challenge Over Search of Personal Devices and Cloud Data

The constitutionality of provisions in the Income Tax Act of 2025 that permit tax authorities to search “computer systems” and “virtual digital space,” which includes private communications, cloud servers, emails, and personal electronic devices, has been contested in a public interest lawsuit filed in the Supreme Court. The petition, which was submitted in accordance with Article 32 of the Indian Constitution, contests both Section 132 of the Income Tax Act of 1961 and Section 247 of the Income Tax Act of 2025.

NCLAT ruled that NABARD Refinance Receivables Are Trust Assets, Not Part of Corporate Debtor’s Insolvency Estate

The National Company Law Appellate Tribunal (NCLAT) in New Delhi recently ruled that receivables from refinance deals issued by the National Bank for Agriculture and Rural Development (NABARD) are third-party assets held in trust and cannot be part of the borrower’s insolvency estate. A committee consisting of Chairperson Justice Ashok Bhushan and Technical Member Barun Mitra determined that NABARD’s statutory rights under Section 29 of the NABARD Act are not surrendered simply because it lodged its claim in Form-C during the corporate bankruptcy resolution procedure.

The NCLT then denied NABARD’s plea, prompting the appeal to the NCLAT. The Committee of Creditors argued that NABARD, as a financial creditor with a claim of ₹883 crore, must follow the authorized resolution plan.The tribunal rejected this allegation, noting that NABARD constantly exercised its statutory rights under Section 29 both before and after the CIRP began.

The NCLAT further found that receivables deriving from refinance transactions were third-party assets and could not be considered as SREI assets. As a result, the NCLAT granted the appeal and overturned the NCLT’s ruling, determining that NABARD was entitled to receive the sum set aside for it under the agreed distribution mechanism, after modifying the amount already paid to it as a dissenting financial creditor.