Insolvency (IBC) Matters | Beyonte Compliances

Insolvency Law · IBC

Insolvency (IBC) Matters Corporate Insolvency Resolution Process and liquidation under the IBC, 2016.

The Insolvency and Bankruptcy Code, 2016 (IBC) provides a time-bound mechanism for resolving insolvency of corporate debtors. A Corporate Insolvency Resolution Process (CIRP) can be initiated by a financial creditor (Section 7), operational creditor (Section 9), or the corporate debtor itself (Section 10). Once admitted by the NCLT, the CIRP must be completed within 180 days (extendable to 330 days), culminating in a resolution plan or liquidation.

At Beyonte Compliances, we assist financial creditors, operational creditors, corporate debtors, and Resolution Professionals across the IBC compliance spectrum — from preparing and filing CIRP applications and issuing demand notices, to supporting the Resolution Professional with statutory filings, Committee of Creditors coordination, and post-resolution compliance.

What Our Insolvency (IBC) Matters Service Covers

CIRP Application — Financial Creditor

Preparing and filing the Section 7 application before the NCLT on behalf of a financial creditor — with proof of default and debt documents.

CIRP Application — Operational Creditor

Issuing the Section 8 demand notice and filing the Section 9 application before the NCLT on behalf of an operational creditor after the 10-day notice period.

CIRP Application — Corporate Debtor

Filing the voluntary CIRP application under Section 10 by the corporate debtor for initiation of insolvency resolution.

Interim Resolution Professional Support

Supporting the Interim Resolution Professional (IRP) with public announcement, creditor claim management, and NCLT compliance.

Committee of Creditors Coordination

Assisting with Committee of Creditors (CoC) meetings, voting coordination, and resolution plan evaluation compliance.

Resolution Plan Compliance

Reviewing resolution plans for compliance with IBC requirements and NCLT directions before CoC approval.

Liquidation Compliance

Supporting liquidation proceedings — creditor claims, asset sales, and reporting requirements under the IBC Liquidation Regulations.

NCLAT Appeals

Filing appeals before the NCLAT against NCLT admission or rejection orders within the prescribed time.

Our Process

Default & Eligibility Assessment

Confirming the debt, default, and applicant's eligibility under Section 7, 9, or 10 — and advising on the CIRP application.

Demand Notice / Application Preparation

Issuing Section 8 demand notice (for operational creditors) and drafting the CIRP application with supporting debt and default documents.

NCLT Filing & Admission

Filing the CIRP application before the NCLT and attending admission hearings.

IRP / RP Support

Supporting the Interim Resolution Professional or Resolution Professional with public announcements, creditor claims, and CoC compliance.

Resolution Plan or Liquidation

Coordinating approval of a resolution plan by the CoC and NCLT, or proceeding with liquidation if no viable plan is received.

Why It Matters

✓Debt, default, and applicant eligibility correctly assessed

✓Section 8 demand notice issued within compliance requirements

✓CIRP application filed under Section 7, 9, or 10 as applicable

✓NCLT admission hearings attended and represented

✓IRP and RP supported with statutory compliance

✓Committee of Creditors meetings and voting coordinated

✓Resolution plan reviewed for IBC compliance

✓Liquidation proceedings and NCLAT appeals managed

Frequently Asked Questions

A financial creditor is one to whom a financial debt is owed — such as a bank, NBFC, or debenture holder. An operational creditor is owed an operational debt arising from the supply of goods, services, employment, or government dues. The CIRP application procedure differs for each under Sections 7 and 9 respectively.

The minimum default amount for initiating CIRP is Rs. 1 crore (increased from Rs. 1 lakh in March 2020). Below this threshold, the NCLT will not admit the CIRP application.

If no resolution plan is approved by the Committee of Creditors or confirmed by the NCLT within the prescribed period (180 days, extendable to 330 days), the NCLT shall pass a liquidation order and the company goes into liquidation under the IBC Liquidation Regulations.

Yes. The NCLT may allow withdrawal of a CIRP application under Section 12A if at least 90% of the Committee of Creditors approves the settlement. This provision applies after the CIRP has been admitted and the CoC has been constituted.

Dealing with an insolvency matter? Let's handle the IBC compliance.

Contact our team — CIRP application to resolution, all managed.