The Disciplinary Committee of Insolvency and Bankruptcy Board of India has recently suspended the registration of an Insolvency Professional for 2 years, owing to the alleged violations of CIRP regulations and Insolvency and Bankruptcy Code.
The Insolvency Professional, Mr. Manish Gupta was alleged to have acted in violation of Circular No. IBBI/IP/013/2018 dated 12th June 2018 and Circular No. IP/005/2018 dated 16.01.2018.
He was also under the radar of the DC for outsourcing the responsibility of claim verification, Non-compliance of 40B of CIRP Regulations, Delay in publishing Form G and Non-publication of Form G on the website of the Board and a Delay in preparation of Information Memorandum (IM).
He was further accused of Breach of timelines in the CIRP of Corporate Debtor and Non-cooperation with Inspecting Authority (IA).
In view of the submission made by Mr. Manish Gupta, and materials available on record, DC noted that Mr. Manish Gupta has violated many provisions of the Code, IBBI (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 (CIRP Regulations), IBBI (Inspection and Investigation) Regulations, 2017 (Inspection Regulations), IBBI (Insolvency Professionals) Regulations, 2016 (IP Regulations) and the Code of Conduct.
“Repeated non-cooperation and series of non-compliances is not justifiable, whatsoever, serious nature of trauma, at personal level one may be suffering. In case, circumstances were so compelling that he was not able to discharge his duties, instead of remaining gainfully engaged on a regular basis in connection with CD, he had the option to approach CoC or AA for presenting a case for his replacement.”, the Disciplinary Committee comprising Whole Time IBBI Member Sudhaker Shukla observed.
As per the said findings, the DC, in the exercise of the powers conferred under section 220 (2) of the Code read with regulation 13 of the IBBI (Inspection and Investigation) Regulations, 2017 thereby suspended the registration of Mr. Manish Gupta for a period of two years.
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