SC: Statutory Authorities may Intervene When Housing Societies Delay Membership Decisions  ||  SC: Quasi-Judicial Authorities Cannot Exercise Review Powers Unless Expressly Granted By Statute  ||  SC: Special Court Cannot Order Confiscation While Appeal Against Attachment Confirmation is Pending  ||  SC: Photocopies are Not Evidence Unless Conditions for Leading Secondary Evidence are Proved  ||  Calcutta HC: Conviction under Essential Commodities Act Invalid if Stock Measured With a 'Stick'  ||  Kerala High Court: Universities Must Regulate Student Political Activities to Curb Campus Violence  ||  Calcutta HC: Accused Has No Right on Investigation Mode or Impleadment in Probe Writ  ||  Gauhati HC: POCSO Probes Must be Child-Friendly, With Sensitized Investigators to Ensure Clear Truth  ||  Kerala HC: Orders Barring Disclosure of Witness Statements Must State Reasons For Each Witness  ||  SC: Hard to Believe Married Woman Was Lured Into Sex by False Marriage Promise; Case Quashed    

Compliances for initiation of Voluntary Liquidation of a Financial Service Provider- (Insolvency and Bankruptcy Board of India) (13 Feb 2024)

MANU/NMIC/0053/2024

Insolvency

1. The Code provides for the voluntary liquidation process of corporate persons. However, the definition of 'corporate person' in sub-section (7) of section 3 excludes any financial service provider (FSP). Section 227 read with the Insolvency and Bankruptcy (Insolvency and Liquidation Proceedings of Financial Service Providers and Application to Adjudicating Authority) Rules, 2019 allows FSPs who have been notified by the Central Government, after consulting financial regulators, to undergo a voluntary liquidation process after obtaining prior permission of the appropriate regulator. It has been noted that some FSPs have commenced the voluntary liquidation process without notification and / or prior permission of the appropriate financial regulator.

2. Accordingly, it is hereby directed that the liquidator shall ensure that, if the corporate person falls under the category of financial service provider, it shall declare that:

(i) the category of Financial Service Providers has been notified by the Central Government under section 227 of the Code, and

(ii) the corporate person has obtained prior permission from the appropriate regulator.

Sharing of final report, Form H, and dissolution order with IBBI

3. It is hereby directed that the liquidator shall submit a copy of Form H and the final report filed before the Adjudicating Authority as per Regulation 38, and the order for dissolution to the Board to the email ID: liqvol@ibbi.gov.in.

4. This is issued in the exercise of the powers conferred under section 196 of the Insolvency and Bankruptcy Code, 2016.

Tags : COMPLIANCES   VOLUNTARY LIQUIDATION   FINANCIAL SERVICE PROVIDER  

Share :        

Disclaimer | Copyright 2026 - All Rights Reserved