Vide notification dated 14.06.2023, Regulation 20(1A) was introduced in the Insolvency and Bankruptcy Board of India (Information Utilities) Regulations, 2017 mandating that the Information Utility has to process the financial information and issue the record of default to the creditor to enable the creditors to attach the same with the applications filed under Sections 7 or 9 of the Insolvency and Bankruptcy Code, 2016.
Regulation 20:
“20. Acceptance and receipt of information.
(1A) Before filing an application to initiate the corporate insolvency resolution process under section 7 or 9, as the case may be, the creditor shall file the information of default, with the information utility and the information utility shall process the information for the purpose of issuing a record of default in accordance with regulation 21.”
The Hon’ble NCLT, New Delhi has now issued a general order advising all the applicants to comply with the above-mentioned regulation and to produce the record of default issued by the Information Utility.
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