Institute of Company Secretaries of India (ICSI) has formed an Insolvency Professional Agency and had applied to the Insolvency and Bankruptcy Board for its registration.
"The Insolvency and Bankruptcy Code of India has got the President's assent and is now in place. ICSI thus has formed an Insolvency Professional Agency for which we have applied for registration to the Insolvency and Bankruptcy Board", ICSI President Mamta Binani told reporters here today.
She said that ICSI would receive the registration from Finance Minister Arun Jaitley on Monday.
The insolvency professionals would be created as a different set of intermediaries who would try to resolve disputes between the creditor and the debtor in case of corporate and individual insolvencies.
With Board for Industrial and Financial Reconstruction (BIFR) becoming redundant, corporate insolvencies would now be dealt with by the National Company Law Tribunal and proprietorship and partnership insolvencies by the Debt Recovery Tribunal.
The code would help entrepreneurs to make quick exit from companies which were lying closed down and help unlock the value of the assets stuck in these.
The eastern region convocation was held today and 227 students were given away ICSI degrees. Convocations for the northern, western and southern regions would be held later, she said.
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