Insolvency regulator IBBI proposed to strengthen the information provided by information utilities (IUs) so as to speed up the admission process for corporate insolvency and resolution process (CIRP) in the National Company Law Tribunal (NCLT). Delays in admission of applications in NCLT has been cited as one of the main reasons for delay in the insolvency resolution process in the country. The IBBI has now issued a discussion paper on ‘enhancing effectiveness of Information utility’ that among other things proposes to streamline the format of information of debt/default.
Against this backdrop, Dhrupad Vaghani, Associate Partner, Economic Laws Practice (ELP) has been quoted by BusinessLine in their article titled ‘IBBI plans to streamline role of information utility to speed up admission process in NCLT’. Dhrupad says, “The discussion paper targets an imperative issue, the importance of timelines under the IBC, and to effectively extend the use of IU in reducing the delays in admission of applications for CIRP.”
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