New Delhi, Mar 7 (UNI) The Insolvency and Bankruptcy Board of India (IBBI) has signed a cooperation agreement with the International Finance Corporation (IFC), a Member of the World Bank Group (WBG) to build capacity of the insolvency professionals and its agencies for the the effective implementation of the Insolvency and Bankruptcy Code, 2016.
The agreement was signed on Wednesday by K R Saji Kumar, Executive Director, IBBI and Jun Zhang, Country Manager, IFC India. Injeti Srinivas, Secretary, Ministry of Corporate Affairs, M S Sahoo, Chairperson, IBBI, Gyaneshwar Kumar Singh, Joint Secretary, Ministry of Corporate Affairs, and other Ministry officials were present on the occasion.
The Insolvency and Bankruptcy Code, 2016 (Code) provides for re-organisation and insolvency resolution of corporate persons, partnership firms and individuals in a time bound manner for maximisation of the value of assets of such persons, to promote entrepreneurship, availability of credit and balance the interests of all the stakeholders. For this purpose, it has established an institutional infrastructure comprising adjudicating authorities, the IBBI, insolvency professionals, insolvency professional agencies and information utilities.
The IBBI exercises regulatory oversight over the insolvency professionals, insolvency professional agencies and information utilities. It writes and enforces rules for processes, namely, corporate insolvency resolution, corporate liquidation, individual insolvency resolution and individual bankruptcy under the Code.
The IBBI is interested in the effective implementation of the Code and its allied rules and regulations. The IFC is interested to assist the IBBI to further build the capacity of the insolvency professionals, and insolvency professional agencies for the purposes of the Code.
The Cooperation agreement envisages technical assistance up to June 30, 2021 by the IFC to IBBI in this regard.