New Delhi - The Insolvency and Bankruptcy Board of India (IBBI) signed a memorandum of understanding (MoU) with the Reserve Bank of India (RBI) on cooperation for an effective implementation of the Bankruptcy Code, according to an official announcement.
Among others, the MoU provides for "sharing of information between the two parties, subject to the limitations imposed by the applicable laws" and "sharing of resources available with each other to the extent feasible and legally permissible," a Finance Ministry statement said.
Under the agreement, periodic meetings would be held to discuss matters of mutual interest, including regulatory requirements that impact each party's responsibilities, enforcement cases, research and data analysis, information technology and data sharing, it said.
According to the statement, other clauses of the MoU include cross-training of staff in order to enhance mutual understanding of their respective mission, as well as capacity building of insolvency professionals and financial creditors.
The Insolvency and Bankruptcy Code, 2016, provides for the insolvency resolution of corporates, partnership firms and individuals in a time-bound manner, for which it has mandated a period limit of six months.