As you are aware the Ministry of Corporate Affairs has notified the following Regulations recently:
- Insolvency and Bankruptcy Board of India (Insolvency Professional Agencies) Regulations 2016 (Notified on November 22, 2016)
- Insolvency and Bankruptcy Board of India (Model Bye-Laws and Governing Board of Insolvency Professional Agencies) Regulations, 2016 (Notified on November 22, 2016)
- Insolvency and Bankruptcy Board of India(Insolvency Professionals) Regulations, 2016 (Notified on November 24, 2016)
Registration of ICSI Insolvency Professionals Agency (ICSI-IPA)
- We are happy to inform you the ICSI Insolvency Professionals Agency is registered as a Section 8 Company and is a wholly-owned subsidiary of ICSI.
- ICSI Insolvency Professionals Agency is also in the process of getting itself registered as an Insolvency Professional Agency with the Insolvency and Bankruptcy Board of India.
Scope of Insolvency Practice
The notification of The Insolvency and Bankruptcy Code 2016 (the ‘Code’) and the Regulations/Rules made thereunder has opened up lot of opportunities for the professionals in the area of Corporate Insolvency Resolution Process, Corporate Liquidation Process and Individual insolvency resolution process. In this regard, we may like to draw your kind attention to the following provisions:
Section 208 of the Code
- Section 208(1) of the Code reads as under:
Where any insolvency resolution, fresh start, liquidation or bankruptcy process has been initiated, it shall be the function of an Insolvency Professional to take such actions as may be necessary, in the following manner, namely:
- A fresh start order process under Chapter II of Part III
- Individual insolvency resolution process under Chapter III of Part III
- Corporate Insolvency Resolution Process under Chapter II of Part II
- Individual Bankruptcy Process under Chapter IV of Part III and
- Liquidation of a corporate debtor firm under Chapter III of Part II.
2.Insolvency and Bankruptcy Board of India (Insolvency Professionals) Regulations, 2016.
Regulation 5
Limited Insolvency Examination
Regulation 5(c) (ii) enables Company Secretaries and having 10 years of experience as a member of the Institute of Company Secretaries of India and who has passed Limited Insolvency Examination.
Regulation 9(1)(a)(ii), 9(1)(b) and 9(3)
- Regulation 9(1)(a) states that notwithstanding any of the provisions of Regulation 5, an individual shall be eligible to be registered for a limited period as an insolvency professional:
(a)(ii) if he has been in practice for 15 years as Company Secretary who is enrolled as a member of the Institute of Company Secretaries of India.
- Regulation 9(1)(b) requires Rs.5000/- fee to be collected by the Insolvency Professional Agency on behalf of the Insolvency and Bankruptcy Board of India.
- Regulation 9(3) states that an individual referred to in sub-regulation (1) shall be registered for a limited period upon submission of the details and fees collected by the Board, which shall be valid for a period of 6 months from the date of such submission.
Accordingly:
- members who have been in practice for 15 years can immediately register as insolvency professionals for a period of 6 months, as detailed in the above regulations.
- members (employment/in practice) having 10 years of experience as member of the Institute can register, subject to passing of ‘Limited Insolvency Examination’. As per Regulation 3(1) of Insolvency and Bankruptcy (Insolvency Professionals) Regulations 2016, the syllabus, format and frequency of the same shall be published on the website of the Board.
The link for the said notification is http://www.mca.gov.in/
I appeal to all the eligible professionals, to register themselves as insolvency professionals with ICSI-Insolvency Professionals Agencyforthwith. To further mention, the fee for the said registration is Rs.15000/- including Rs.5,000/- as fees for registration of the individual as Insolvency Professional with the Insolvency and Bankruptcy Board of India, collected through ICSI-Insolvency Professionals Agency
Johny Walker says in his most famous quote-‘Keep Walking’.....My precious colleagues, I would just like to mention that this is a great opportunity to display our talent and wherewithal. It has opened up a sea of opportunities and a holistic way of showcasing ourselves. Let us come forward and embrace this with open arms!!
Company Secretary GAURAV SHARMA+919990694230 Connect on Watts App with Gaurav Email us [email protected] Submit your guest articles for our website click here we will publish it Subscribe our Email updates like other 21,000 Members, Free/Easy/Comfortableway
