The Insolvency and Bankruptcy Board of India (IBBI) announced that it has collaborated with the Indian Banks’ Association (IBA) to facilitate the auction of assets under the liquidation process through the ‘eBKray platform’, which is presently owned and managed by PSB Alliance Private Limited (a consortium of 12 Public Sector Banks,PSBs).
- This announcement was made by IBBI through a circular issued in the exercise of the powers given under Section 196 of the Insolvency and Bankruptcy Code (IBC 2016).
- This circular will come into force with effect from 1st November, 2024.
About eBKray platform:
i.It is a centralised platform which provides information on corporate debtor assets, including photographs, videos, and geographical coordinates.
ii.The platform aims to enhance bidder participation, streamline operations, and maximize returns for creditors. It also aims to enhance outcomes for bidders by improving transparency and efficiency through advanced technology.
iii.Over the last 5 years, eBKray has been conducting auctions for assets mortgaged to the Public Sector Banks (PSB) under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act.
Key Points:
i.PSB Alliance has developed a module within the eBKray platform to provide the listing and auction of assets under IBC 2016.
ii.The platform will acts as a unified listing platform to host all assets being sold in liquidation cases. It will require all details such as the status of the attachment or lien, geographical coordinates, and the likely date of auction to be provided by the liquidators.
iii.For the initial phase, the platform will be deployed on a pilot mode and it will be improved based on the experiences of the usage. The complete roll-out of the platform will be notified thereafter.
iv.As per IBBI directions, it is mandatory for all the Insolvency Professionals (IPs) handling the liquidation processes to list the details of all the unsold assets in respect of the ongoing liquidation processes on the eBKray platform.
- They are also required to list those assets within 7 days of submission of the asset memorandum to the Adjudicating Authority in respect of liquidation processes starting on or after the issuance of the concerned circular.
- IBBI has allowed IPs to use the eBKray auction platform for the sale of assets on or after this circular in respect of all ongoing cases.
Recent Related News:
Kulwant Singh, a 1999 batch Indian Audit and Accounts Service (IA&AS) officer officially took charge as Executive Director of the IBBI on 11th September, 2024. He has previously served as the Director General of Audit, East Coast Railway, Bhubaneswar, Odisha.
About Insolvency and Bankruptcy Board of India (IBBI):
Chairman- Ravi Mittal
Headquarters- New Delhi, Delhi
Established- 2016
About Indian Banks’ Association (IBA):
Chairman- Matam Venkat (M.V.) Rao
Headquarters- Mumbai, Maharashtra
Established – 1946
