One of the key features of the Insolvency and Bankruptcy Code, 2016 is the concept of “Insolvency Professional”. As per the Code, the insolvency resolution processes are to be conducted by the Insolvency Professionals, who are required to be members of an Insolvency Professional Agency which in turn is to be registered with the Insolvency and Bankruptcy Board of India.
The Code and regulations with respect to Insolvency Professionals will open up a new window of opportunities for professionals such as Chartered Accountants, Company Secretaries, Cost Accountants and Advocates.
Eligibility and Qualification
As per Regulation 4 and Regulation 5 of the Insolvency and Bankruptcy Board of India (Insolvency Professionals) Regulations, 2016, if a person meets eligibility and qualification criteria can register with Insolvency and Bankruptcy Board of India only after passing the Limited Insolvency Examination.
Role of Insolvency Professional
- He takes up matters relating to insolvency of individuals, partnerships and liquidation of companies.
- He controls the assets of the debtor during the insolvency process.
- He advises and monitors his clients in matters related to insolvency, bankruptcy and liquidation.