NEW DELHI: Sebi on Tuesday issued a circular
regarding empanelment of insolvency professionals to be appointed as
administrators under the regulator's framework.
An administrator has to be a person registered as an insolvency professional with the
Insolvency and Bankruptcy Board of India (IBBI) and empanelled with the board from time to time.
The IBBI has been set up under the Insolvency and Bankruptcy Code.
Sebi
has issued a circular on empanelment of insolvency professionals to be
appointed as administrator, remuneration and other incidental and
connected matters under its norms.
During the pendency of the
insolvency assignment, the appointed administrator shall neither
withdraw consent nor surrender registration to the IBBI Board or
membership to the Insolvency Professional Agency (IPA), according to the
circular.
In case of such withdrawal or refusal, the matter would be referred to the IBBI for suitable action.
The
administrator can also appoint an independent chartered accountant to
verify the details of money raised, including payment already made to
investors. Sebi appoints administrators in case of entities where
investors' money has to be refunded.
The remuneration payable to administrator shall be in accordance with IBBI's Liquidation Process norms, the circular said.
Besides,
there would be different fee slabs for regular and forensic audits
carried out during the insolvency process by chartered accountants.
Similarly,
the regulator also specified percentage as fees for registered valuer
and registrar and share transfer agent on the amount valued.