IBBI and INSOL India International Conclave 2024
The Insolvency and Bankruptcy Board of India vide notification dated 22nd November, 2023 has announced the IBBI and INSOL India International Conclave 2024. The conclave is scheduled on 20th January 2024.
IBBI discussion paper on REAL-ESTATE RELATED PROPOSALS- CIRP & LIQUIDATION
Comments may be submitted electronically by 28th November, 2023 through IBBI website.
GENCOs encouraged to Participate in CIRP of Stressed Power Assets
The Ministry of Power (MoP) has issued an advisory encouraging all States/ Generation Companies (GENCOs) to participate in the Corporate Insolvency Resolution Process (CIRP) for taking over stressed thermal power assets. State-owned GENCOs are advised to acquire stressed power assets through IBC under the National Company Law Tribunal (NCLT) route and contribute to the overall generation capacity of the nation.
Discussion paper on amendments to Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Process) Regulations, 2016
Comments may be submitted electronically by 22nd November, 2023.
IBBI Discussion Paper on ‘Strengthening the Liquidation Process’
The paper proposes that the IBC may provide that the liquidator should list all assets of the CD as per the Asset Memorandum, on a listing platform in the manner to be notified by the Board, which would significantly improve the visibility of assets, reduce information asymmetry and simplify the process for potential bidders. Each asset listed should contain all material information about the assets such as status of attachment or lien, geographic coordinates, envisaged mode of sale and likely date of auction. By listing assets much earlier than the auction date, the process would ensure greater engagement for the prospective bidders and availability of more time with bidders for due diligence, leading to more competitive bidding. The progress reports shall also be shared with the SCC.
IBBI seeks Rationalization of the Regulatory Framework for Enhancing the Effectiveness of Insolvency Professional Entities in Insolvency Resolution Process
Following limits are prescribed for IPs and IPEs in terms of assignments taken up: For IP who is an individual – Overall limit of 10 assignments at any point of time, out of which not more than three shall have admitted claims exceeding one thousand crore rupees each. The overall limit includes all the assignments of an IP. For IP which is an entity – Overall limit of 5 assignments per partner or director who are IPs holding AFA, at any point of time (excluding the assignments taken by an IP in his individual capacity). However, number of assignments for an IPE acting as IP at any point of time shall not be more than 15 assignments having admitted claims exceeding one thousand crore rupees each. The overall limit includes all the assignments of an IPE acting as IP.
IBBI Discussion Paper on Streamlining the Voluntary Liquidation Process
The IBBI has solicited public comments on these proposed changes, in accordance with its regulatory framework. Interested stakeholders are encouraged to provide their input on these amendments. Comments can be submitted electronically on the IBBI website by October 26, 2023.
IBBI invites suggestions to simplify, ease and reduce cost of compliance of Regulations under IBC
The comments may be provided online by visiting the IBBI website at – https://ibbi.gov.in/webfront/regulation_comment.php .
IBBI (Insolvency Resolution Process for Corporate Persons) (Second Amendment) Regulations, 2023
To expedite the resolution process and reduce delays, the amended regulations extend the timeline for creditors to submit claims. Creditors now have 90 days from the insolvency commencement date or the date of the latest request for resolution plans (RFRP) issuance, whichever is later, to submit their claims. Additionally, creditors making claims after this period must provide reasons for the delay, and the RP must explain why they didn’t include such claims earlier. This amendment aims to reduce the burden on the adjudicating authority (AA) and minimize uncertainties.
Clarification regarding Filing of CIRP Forms for the purpose of monitoring corporate insolvency resolution processes and performance of insolvency professional entities under IBC
The facility for submitting the CIRP Forms has been now extended to entities acting as IPs also. These IPEs shall access the said platform with the help of a unique username and password provided by the IBBI and authorize an IP handling the process to upload/ submit the CIRP Forms. Thereafter, the authorized IP shall submit the CIRP Forms along with relevant information and records through his username and password as provided to him in capacity of individual IP.
