Insolvency regulator bars professional P.R. Raman for two years over corporate insolvency lapses

The Insolvency and Bankruptcy Board of India issued an order suspending professional P.R. Raman for a period of two years. This disciplinary action follows findings of five distinct compliance violations committed during the Corporate Insolvency Resolution Process. The specific infractions identified by the regulator include valuation failures, lapses in handling avoidance transactions, delays in issuing Form G, and late submission of the Expression of Interest.

Insolvency frameworks are designed to protect stakeholder value and ensure fair asset recovery during company distress. Professional oversight and adherence to statutory timelines prevent asset dissipation and maintain transparency for creditors. Previously, practitioners faced varied oversight, but stringent regulatory enforcement now targets procedural delays and evaluation lapses directly. Insolvency professionals must review their active insolvency assignments immediately to prevent similar compliance breaches.

Practitioners should audit their documentation for valuation reports, tracking forms, and transaction reviews. Bottom line: Strict adherence to procedural timelines protects your license and safeguards client resolution proceedings.