The Insolvency and Bankruptcy Board of India (IBBI) on February 15, 2024, issued the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Amendment) Regulations, 2024 to further amend the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016.
The following amendments have been stated:
• After regulation 4C which states Process e-mail, the following regulation shall be inserted, namely: -
“4D. Operating separate bank accounts for each real estate project. Where the corporate debtor has any real estate project, the interim resolution professional or the resolution professional, as the case may be, shall operate a separate bank account for each real estate project.”
• In regulation 18 which states Meetings of the committee, for sub-regulation (1), the following sub-regulation shall be substituted, namely: -
“(1) A resolution professional shall convene a meeting of the committee before the lapse of thirty days from the last meeting: Provided that the committee may decide to extend the interval between such meetings subject to the condition that there shall be at least one meeting in each quarter.”
• After regulation 31A which states Regulatory Fee, the following regulation shall be inserted, namely: -
“31B. Approval of committee for insolvency resolution process costs. The insolvency professional shall place in each meeting of the committee, the operational status of the corporate debtor and shall seek its approval for all costs, which are part of insolvency resolution process costs.”
• In regulation 40 which states Extension of the corporate insolvency resolution process period, after sub-regulation (2), the following clarification shall be inserted, namely: -
“Clarification: It is clarified that the resolution professional shall continue to discharge his responsibilities under the corporate insolvency resolution process, till the application for extension is decided by the Adjudicating Authority.”
They shall come into force on February 15, 2024.
[Notification No. No. IBBI/2023-24/GN/REG113]
