Information Utility – The Untapped Pillar of IBC, 2016 : By Adv. Harish Malik & Adv. Arpit Kumar Mishra

In light of the recent order dated 12.05.2020 passed by the NCLT, making filing of “default record” from IU mandatory along with the application for initiating Insolvency proceedings, it is necessary for all the lenders/creditors to register themselves with NeSL (only existing IU as on date) and submit their financial information (illustrated below) in accordance with the Code and regulations made thereunder. The said Order of the NCLT will help in giving complete effect to the provisions governing the IUs and utilising them to achieve the expected time efficiency in the Insolvency Proceedings. At the same time it has become necessary for the lenders/creditors as well as the borrowers/debtors to understand the concept of IUs and their functioning. This article will give its reads an insight of the complete structure of the IUs and how and when one can utilize its services.

WhatsApp Bulletin-26