Insolvency Professionals To Act As Interim Resolution Professionals Or Liquidators (Recommendation) Guidelines, 2018

Under the I&B Code, an Insolvency Professional (hereinafter referred as 'IP' or 'IRP') plays a vital role during Corporate Insolvency Resolution Process (CIRP). The IRP or RP steps in the shoes of the Management as the management of the Corporate Debtor remains suspended during the CIRP. A whole array of statutory and legal duties and power is vested with IRP/RP. Section 20 of the I&B Code require him to makes every endeavor to protect and preserve the value of the property of the corporate debtor and manage its operation as a going concern.

With respect to appointment of IRP/RP, under Section 16 and 34 of the I&B Code, the Adjudicatory Authority can request the Insolvency and Bankruptcy Board of India (hereinafter referred as "the Board") to recommend an IRP/RP/Liquidator for appointment. The time period within which the Board has to give recommendation as provided under the Code is 10 days. At times there are problems been faced by the Board to recommend the