IBBI Revises Format For Serving Copy Of Application To Board

Brief background

The Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016 obligates an applicant to provide a copy of the application for initiating Corporate Insolvency Resolution Process (“CIRP”) against a Corporate Debtor, to the IBBI, before filing the same with the Adjudicating Authority.

In 2020, the IBBI has made available a facility on its website for serving a copy of the application online to the IBBI. Thereafter, vide a Circular dated 15.06.2022 the IBBI decided to forward all the applications received for initiating insolvency to the Information Utility (IU). The IU is required to (i) inform other creditors of the Corporate Debtor by sharing the application; (ii) issue notice to the applicant, requiring it to file ‘information of default’ as per IU Regulations; and (iii) process the ‘information of default’ for the purpose of issuing ROD as per the IU.

Revised Format

The IBBI has revised format for serving a copy of the application, to ensure filing of authentic information and enabling sharing of information with IU efficiently. The Revised Format requires the Applicant to mention its personal details, details of the application and also of the proposed Insolvency Professional. A step-by-step guide for submission of the application has also been provided alongwith the Circular. Further, on submission of the application online, the applicant shall get an acknowledgment.

The provisions of the Circular supersede IBBI’s Circular No. IBBI/IU/35/2020 dated 29.10.2020.

Circular No. IBBI/LAD/58/2023

Click Here To Read/Download Circular