NEW DELHI: Corporate Affairs Secretary Deepti Gaur Mukerjee emphasized the need for insolvency professionals and valuers to establish a robust self-regulation mechanism, underscoring the significance of insolvency law during her address at the ninth annual day of the Insolvency and Bankruptcy Board of India (IBBI).
Mukerjee noted that there is still a considerable journey ahead regarding the Insolvency and Bankruptcy Code (IBC), as public expectations are quite high.
The IBC, introduced in 2016, aims for a market-driven and timely resolution of distressed assets.
Currently, over 4,500 insolvency professionals and 6,000 valuers are registered under this Code.
While she asserted that “this is not the time for policing everyone,” Mukerjee called for deep reflection and proposed developing a more effective self-regulating system for insolvency professionals and valuers.
She mentioned the existence of a Code of Conduct for these professionals, but pointed out that such mechanisms have limited impact. The focus should shift toward genuine self-regulation, she stated.
IBBI Chairperson Ravi Mital highlighted that over 100,000 homebuyers have benefited from the resolution of real estate projects under the IBC in the past nine years. Additionally, Mital noted that 125 amendments have been made to IBBI regulations, with none deemed incorrect by the High Courts or Supreme Court.
The IBBI plays a crucial role in implementing the Code.
