IBBI Seeks To Fast-Track Appointments With New Empanelment Framework For Insolvency Professionals

New Delhi, May 22 (KNN) The Insolvency and Bankruptcy Board of India (IBBI) has introduced a structured empanelment framework to streamline and expedite the appointment of insolvency professionals by the National Company Law Tribunal (NCLT) and Debt Recovery Tribunal (DRT), with unjustified refusal of assignments attracting a six-month exclusion from the panel.

The guidelines — formally titled the Insolvency Professionals to act as Interim Resolution Professionals, Liquidators, Resolution Professionals and Bankruptcy Trustees (Recommendation) Guidelines, 2026 — were issued on May 18 and will remain in effect from July 1 to December 31, 2026.

How the Panel Will Be Constituted

Insolvency professionals interested in empanelment must submit Form A by June 19, 2026, in response to invitations sent by the IBBI to their registered email addresses. The finalised panel will be shared with NCLT and DRT benches by June 30.

To be eligible, a professional must hold a valid Authorisation for Assignment covering the full panel validity period, must not face any pending disciplinary proceedings initiated by the IBBI or an insolvency professional agency, and must not have been convicted by a competent court in the preceding three years.

Applicants will also be required to disclose details of ongoing and completed assignments, sectoral experience in handling insolvency cases, and any history of suspension, debarment, disciplinary action, or criminal conviction.

Ranking, Allocation and Geographic Coverage

The panel will be prepared on a zone-wise and bench-wise basis, aligned to the registered office of each insolvency professional. Insolvency Professional Entities, however, will remain eligible for appointment across all NCLT benches regardless of location.

Eligible professionals will be ranked by the volume of their ongoing assignments, with registration seniority serving as the tiebreaker where two or more professionals carry the same workload score — earlier registrants being ranked higher.

Deemed Consent and Penalty for Refusal

A key feature of the new framework is that submission of an expression of interest will constitute unconditional consent to act in any assigned role — whether as interim resolution professional, resolution professional, liquidator, or bankruptcy trustee. 

Empanelled professionals will not be permitted to withdraw consent or refuse assignments unless a tribunal or the IBBI grants explicit permission under law. Unjustified refusal will result in removal from the panel for six months.

The guidelines also clarify that adjudicating authorities retain discretion to appoint insolvency professionals from outside the panel where warranted.

(KNN Bureau)