IBBI (Insolvency Resolution Process For Corporate Persons) (Amendment) Regulations, 2021

INSOLVENCY AND BANKRUPTCY BOARD OF INDIA
NOTIFICATION

New Delhi, 15^th March, 2021

Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Amendment) Regulations, 2021.

No. IBBI/2020-21/GN/REG070. - In exercise of the powers conferred by clause (t) of sub­section (1) of section 196 read with section 240 of the Insolvency and Bankruptcy Code, 2016 (31 of 2016), the Insolvency and Bankruptcy Board of India hereby makes the following regulations further to amend the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016, namely: –

1. (1) These regulations may be called the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Amendment) Regulations, 2021.

(2) They shall come into force on the date of their publication in the Official Gazette.

2. In the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 (hereinafter referred to as the principal regulations), after regulation 12, the following regulation shall be inserted, namely: –

“12A. Updation of claim.

A creditor shall update its claim as and when the claim is satisfied, partly or fully, from any

source in any manner, after the insolvency commencement date.”

3. In the principal regulations, in regulation 40B, after sub-regulation (1), the following sub-regulation shall be inserted, namely: –

“(1A) Where any activity stated in column (2) of table below is not complete by the date specified therein, the interim resolution professional or resolution professional, as the case may be, shall file Form CIRP 7 within three days of the said date, and continue to file Form CIRP 7, every 30 days, until the said activity remains incomplete-:

T = Insolvency commencement date, and

X = Date of filing of Form CIRP 7 for the first time under column (3).

Provided that subsequent filing of Form CIRP 7 shall not be made until thirty days have lapsed from the filing of an earlier Form CIRP 7.

Clarification: Only one Form CIRP 7 shall be filed at any time whether one or more activity is not complete by the specified date.

Illustration

(a) If public announcement is not made by T+3^rd day, Form CIRP 7 shall be filed by T+6^th Thereafter, if public announcement is made on T+16^th day, no further Form CIRP 7 will be filed. However, if public announcement is not made till T+33^rd day, Form CIRP 7 shall be filed on T+36^th day.

(b) If public announcement is not made by T+3^rd day, Form CIRP 7 shall be filed by T+6^th Thereafter, if public announcement is made on T+16^th day, no further Form CIRP 7 will be filed. However, if RP is not appointed by T+30^th day, though Form CIRP 7 becomes due by T+33^rd day, it shall be filed on 30^th day from the filing of first Form CIRP 7, that is, on T+36^th day.

(c) If public announcement is not made by T+3^rd day, Form CIRP 7 shall be filed by T+6^th Thereafter, if either public announcement is not made till T+33^rd day or RP is not appointed by T+30^th day, Form CIRP 7 shall be filed on T+36^th day.”

4. In the Schedule to the principal regulations, Form C shall be substituted with the following:

“FORM C
SUBMISSION OF CLAIM BY FINANCIAL CREDITORS
(Under Regulation 8 of the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016)

[Date]

From

[Name and address of the financial creditor, including address of its registered office and principal office]

To
The Interim Resolution Professional / Resolution Professional
[Name of the Insolvency Resolution Professional / Resolution Professional]
[Address as set out in public announcement]

Subject: Submission of claim and proof of claim.

Madam/Sir,

[Name of the financial creditor], hereby submits this claim in respect of the corporate insolvency resolution process of [name of corporate debtor]. The details for the same are set out below:

DECLARATION

I, [Name of claimant], currently residing at [insert address], do hereby declare and state as

follows: –

1. [Name of corporate debtor], the corporate debtor was, at the insolvency commencement date, being the….day of….20…, actually indebted to me for a sum of Rs. [insert amount of claim].

2. In respect of my claim of the said sum or any part thereof, I have relied on the documents specified below: [Please list the documents relied on as evidence of claim].

3. The said documents are true, valid and genuine to the best of my knowledge, information and belief and no material facts have been concealed therefrom.

4. In respect of the said sum or any part thereof, neither I, nor any person, by my order, to my knowledge or belief, for my use, had or received any manner of satisfaction or security whatsoever, save and except the following:

5. [Please state details of any mutual credit, mutual debts, or other mutual dealings between the corporate debtor and the creditor which may be set-off against the claim].

6. I undertake to update my claim as and when the claim is satisfied, partly or fully, from any source in any manner, after the insolvency commencement date.

7. I am / I am not a related party of the corporate debtor, as defined under section 5 (24) of the Code.

8. I am eligible to join committee of creditors by virtue of proviso to section 21 (2) of the Code even though I am a related party of the corporate debtor.

Date:
Place:

(Signature of the claimant)

VERIFICATION

I, [Name] the claimant hereinabove, do hereby verify that the contents of this proof of claim are true and correct to my knowledge and belief and no material fact has been concealed therefrom.

Verified at … on this day of…….. , 20….

(Signature of claimant)

[Note: In the case of company or limited liability partnership, the declaration and verification shall be made by the director/manager/secretary/designated partner and in the case of other entities, an officer authorised for the purpose by the entity.]”

Dr. M. S. SAHOO, Chairperson

[Advt.-III/4/Ext./533/2020-21]

Note: The Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 were published vide notification No. IBBI/2016-17/GN/REG004, dated 30^th November, 2016 in the Gazette of India, Extraordinary, Part III, Section 4, No. 432 on 30^th November, 2016 and were last amended by the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Fifth Amendment) Regulations, 2020 published vide notification No. IBBI/2020-21/GN/REG066, dated the 13^th November, 2020 in the Gazette of India, Extraordinary, Part III, Section 4, No. 489 on 13^th November, 2020.