IBBI, established in 2016, under the Insolvency and Bankruptcy Code, 2016, is responsible for the implementation of the code.
The board plays a critical role in promoting transparency and accountability in the insolvency resolution process.
“…the central government hereby appoints Vaibhav Chaturvedi, Chief General Manager, Reserve Bank of India as the ex-officio member in the Insolvency and Bankruptcy Board of India to represent the Reserve Bank of India in said Board,” corporate affairs ministry said on December 3.
As the Reserve Bank of India’s (RBI’s) representative, Chaturvedi will contribute to the IBBI’s efforts in ensuring a smooth and transparent resolution process under the Code, which aims to resolve stressed assets and enhance credit discipline in the financial sector.
The appointment underscores the RBI’s continued involvement in the insolvency ecosystem to strengthen its synergy with other regulatory and enforcement agencies. The IBBI board comprises members from various regulatory bodies, including the Ministry of Finance, Ministry of Corporate Affairs, the RBI, and Sebi. The board is a statutory body functioning under the corporate affairs ministry.