Insolvency and Bankruptcy Code

Timeline of 180 days for resolution under the Code is important and the system would evolve, said M S Sahoo, chairperson, Insolvency and Bankruptcy Board of India (IBBI).

Responding to a query during a meeting with stakeholders Sahoo said, “Initially there may be some problems as systems are not in place. As many transactions go through, practices will be streamlined, standardised and automated. Artificial intelligence will come in and machines will take over a lot of the work.”

He added: “Under the information utilities, we need to have information about all credits, authenticate and verify them, make correct information available. This will help the National Company Law Tribunal to admit or reject a matter, help insolvency professionals to verify the claims, so that the transactions move expeditiously. The regulation has been notified. Now it is for the market to come up, seek registration and start working.

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