IBBI Notifies Discussion Paper on Mediation by the Operational Creditors Before Approaching Adjudicating Authority

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By Taxmann
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Last Updated on 6 November, 2024

IBBI Discussion Paper Dated: 04.11.2024

IBBI observed that there are several recurring issues in Section 9 applications, particularly disputes between OC and Corporate Debtor (CD ). In most of the OC-initiated insolvency cases, they are more interested in repayment of money claims rather than admission or resolution of the corporate debtor. Thus, IBBI has now proposed that an option of mediation can be exercised by the operational creditors before filing insolvency applications under Section 9 of the IBC.

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