Taking over Assets under CIRP under IBC
Krit Narayan Mishra .
Specialized as Insolvency Professional under IBC & Registered Valuer - Securities & Financial Assets
Taking control of assets of corporate debtors is major initial milestone for Insolvency Professional. But it is not easy.
Problem: In most of the cases, it is very difficult to take physical possession of assets of corporate debtors. The personnel, officials and security staffs of corporate debtors try to stop the entry of Insolvency Professional physically. ?
In some cases, director of corporate debtors seems to be co-operating by just giving the detail which is either in public domain or Insolvency professional ask specifically. Even when Insolvency professional ask for some vital information, they take the excuse like the person working on the profile have stopped coming the office or left the company without handover or died during covid 19 and hence he is unable to provide the details.
Solutions:
Wherever the Insolvency professional perceive the danger of physical obstructions, he/she should take the help of police and administration and take them along with the certified copy of order of Hon’ble NCLT.
Insolvency professional should make the checklist in advance before going for takeover of assets and accounts of corporate debtors. The checklist will help to ask the specific details to be handed over. If director of corporate debtor do not give handover of particular assets/ accounts, ask to make the reason and sign in the column of your checklist. This checklist will help on two counts:
1.??The Director of corporate debtors will normally provide the required details as he will have to write and signed for reason of not giving.
2.??It will also work as supporting documents for getting the direction from Hon’ble NCLT by filing appropriate application under section 19(2) of the code.
In case of any work related to IBC, you may contact to Krit Narayan Mishra, [email protected]; 9910859116