Question arises for consideration before NCLAT is whether the Adjudicating Authority/National Company Law Tribunal has jurisdiction to quash the disciplinary proceedings once initiated by the IBBI. NCLAT set aside order and held that once a disciplinary proceeding is initiated by the IBBI on the basis of evidence on record, it is for the Disciplinary Authority, i.e., IBBI to close the proceeding or pass appropriate orders in accordance with law. Such power having been vested with IBBI and in absence of any power with the Adjudicating Authority/ (National Company Law Tribunal), the Adjudicating Authority cannot quash the proceeding, even if proceeding is initiated at the instance and recommendation made by the Adjudicating Authority/ National Company Law Tribunal.
Compliance with regulations 7 (2) (ca) and 13 (2) (ca) of the Insolvency and Bankruptcy Board of India (Insolvency Professionals) Regulations, 2016 Ref. : IBBI CIRCULAR No. No. IBBI/IP/020/2019 dt. 12th April, 2019 Regulation 7 (2) (ca) of the…
An insolvency professional shall not influence the decision or the work of the committee of creditors or debtor, or other stakeholders under the Code, so as to make any undue or unlawful gains for himself or his related parties, or cause any undue preference for any other persons for undue or unlawful gains and shall not adopt any illegal or improper means-Mr. Dinkar T. Venkatasubramani- IBBI
No single creditor, whether secured or unsecured, irrespective of its voting power or share, can substitute the CoC. A RP must not engage in private communication with a creditor irrespective of his voting power.-Mr. Mukesh Mohan, Insolvency Professional- IBBI