IBBI Amends Its Regulations On Information Utilities

[17 June 2022] The Insolvency and Bankruptcy Board of India has introduced second round of amendments to the Insolvency and Bankruptcy Board of India (Information Utilities) Regulations, 2017 (“Information Utility Regulations”) vide a notification dated 14.06.2022, bearing No. IBBI/2022-23/GN/REG085, in order to improve the availability of information. These amendments have come into force on 14.06.2022.

The Information Utility Regulations were first published on 31.03.2017 in the Gazette of India (Extraordinary). Thereafter, the first round of amendments were made on 13.04.2021 vide notification No. IBBI/2021-22/GN/REG072, published in the Gazette of India (Extraordinary).
Few prominent amendments as per the Notification dated 14.06.2022 are listed as follows:
1. Before filing an application to initiate Corporate Insolvency Resolution Process (CIRP) under Section 7 or 9 of the Insolvency and Bankruptcy Code, 2016 (“IBC”), the creditor shall have to file the information of default, with the Information Utility. The Information Utility shall process the said information for the purpose of issuing record of default in accordance with Regulation 21.
2. Previously only creditors were duty bound to submit their claims to the Resolution Professional, now the Corporate Debtor or its Promoter or any associate thereof is required to submit such information to the Resolution Professional in the prescribed format.
3. The Operational Creditors will have to furnish the extracts of E-way bill, Form GSTR-1 and Form GSTR-3B along with their application under Section 9 of the IBC, if the concerned laws are applicable to them.
4. In order to aid the Resolution Professional in preparation of the Information Memorandum, the creditors of the Corporate Debtor will have to share information with the Resolution Professional pertaining to the Corporate Debtor’s assets, liabilities, latest financial statements and other financial information, as available with them.
5. The Financial and Operational Creditors will have to furnish their PAN number and email ID while filing application under Section 7 or 9 of IBC.