SIPI has set up a Task Force on Insolvency Best Practices. The idea is that by designing this set of Best Practices the general quality of Insolvency Professionals would improve and the mutual trust between as well as the trust in the Insolvency Professionals work by the general public would be enhanced. Consequently Insolvency Professionals would be able to work more efficiently, which once again would enhance the trust in the insolvency profession on the market.
The recommendations of the Task Force are being reviewed by a Joint Committee of SIPI, INSOL India and ASSOCHAM. Draft Guidelines have been placed in public domain for comments till 15 July. These will then be finalised and endorsed by the Board of SIPI, INSOL India and ASSOCHAM after wide consultation with stakeholders.
To find about the composition of SIPI Task Force , please click here http://insolindia.com/sipi.php
Avoidance of Conflict of Interest
An Insolvency Professional (as defined under the IBC) shall comply with the following fundamental principles while undertaking an assignment under the Insolvency and Bankruptcy Code, 2016 (“IBC”) and rules/regulations thereunder:
- Integrity
- Objectivity
- Professional Competence and Due Care
- Confidentiality
- Professional Behaviour
- Independence
You are invited to submit your comments, if any, on the draft best practices by clicking here.
Payment of Corporate Insolvency Resolution Process Costs
This Statement of Best Practices sets out the legal provisions regarding insolvency resolution process costs incurred under the Code, and practice for observance of the legal provisions in letter and spirit.
Read moreYou are invited to submit your comments, if any, on the draft best practices by clicking here.
Payment of Fee and Reimbursement of Out-of-Pocket Expenses
This Statement of Best Practices sets out the legal provisions regarding the payments of fee and reimbursement of out-of-pocket expenses to an insolvency professional appointed under the Code, and required practice for observance of the legal provisions in letter and spirit.
You are invited to submit your comments, if any, on the draft best practices by clicking here.
Confidentiality
This Statement sets out the fundamental principles of confidentiality which an Insolvency Professional is required to comply with pre and post the initiation of the Corporate Insolvency Resolution Process (“CIRP”).
Read moreYou are invited to submit your comments, if any, on the draft best practices by clicking here.
First Two Weeks from the Date of Appointment of Interim Resolution Professional
This statement has been prepared to summarise what is considered to be the best practices for planning by the Interim Resolution Professional (IRP) for the first two weeks post the appointment. These guidelines would be more applicable in case of a fresh appointment under a NCLT order and not in case of transfer of case from IRP to RP or from RP to RP during CIRP. These might also have limited applicability in case of liquidation.
You are invited to submit your comments, if any, on the draft best practices by clicking here.
IP Planning before Day One
Objective of this document is to provide guidance on planning which Insolvency Professional (IP) should consider before accepting an appointment as an Interim Resolution Professional (IRP). This document would only be applicable in case of a first time appointment of an IRP and this does not cover situations where a Resolution Professional is replaced by CoC or replaced during CIRP and also in case of appointment of a Liquidator.
You are invited to submit your comments, if any, on the draft best practices by clicking here.