Who is responsible for regulating the corporate insolvency process in India?

Prepare for the CA Foundation Business Law Exam with our comprehensive quiz. Utilize flashcards and multiple-choice questions, each complete with hints and explanations. Ace your exam confidently!

The Insolvency and Bankruptcy Board of India (IBBI) is the regulatory authority responsible for overseeing the corporate insolvency process in India. Established under the Insolvency and Bankruptcy Code (IBC) of 2016, the IBBI plays a crucial role in ensuring the orderly resolution of insolvencies and bankruptcies in the corporate sector. It sets the rules, regulations, and guidelines under which insolvency proceedings are conducted, and it also regulates the profession of insolvency practitioners.

The IBBI's functions include registration of insolvency professionals, overseeing the performance of insolvency professional agencies, and ensuring effective implementation of the provisions of the Insolvency and Bankruptcy Code. This regulatory framework is essential for promoting a structured and systematic approach to dealing with corporate insolvency, thus protecting stakeholders' interests and enhancing the credit culture in the economy.

The other entities mentioned do not hold the primary responsibility for regulating the corporate insolvency process. The Supreme Court of India interprets and enforces laws but does not specifically regulate insolvency procedures. The Debt Recovery Tribunal primarily deals with the recovery of dues in case of non-repayment of loans rather than the entire corporate insolvency process. The Securities and Exchange Board of India (SEBI) regulates the securities market and

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy