TMI BlogAN INSOLVENCY RESOLUTION PROFESSIONAL IS UNDERGO CONTINUING PROESSIONAL EDUCATIONX X X X Extracts X X X X X X X X Extracts X X X X ..... AN INSOLVENCY RESOLUTION PROFESSIONAL IS UNDERGO CONTINUING PROESSIONAL EDUCATION - By: - Mr. M. GOVINDARAJAN - Corporate Laws / IBC / SEBI - Dated:- 14-8-2019 - - Continuing Professional Education The three professional institutes viz., the Institute of Chartered Accountants of India, the Institute of Company Secretaries of India and the Institute of Cost Accountants of India require their members to acquire credit hours to have continuing professional education ( CPE or short) in order to update in their professional knowledge and also to make the members excel in their professional activities. In the same manner the Insolvency and Bankruptcy Board of India ( IBBI for short) requires the insolvency professionals ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ( IP for short) to undergo CPE so as to update them in the area of insolvency and related matters. For this purpose the Board made The Insolvency and Bankruptcy Board of India (Continuing Professional Education for Insolvency Professionals) Guidelines, 2019 ( Guidelines for short). These guidelines have been prepared by the IBBI in consultation with the three Insolvency Professional Agencies ( IPA for short). IBBI is of the view that an arrangement of CPE will improve monitoring of practising IPs and avoid unnecessary disciplinary processes. Objective The objective of these guidelines is to upgrade an IP through CPE to remain relevant and provide value added services. An IP sh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... all undertake CPE in compliance with these guidelines to keep his registration valid. Authorization for assignment will not be issued or renewed to an IP who fails to comply with these guidelines. Non applicability These guidelines shall not be applicable to the IPs who have attained 65 years. Effective date These guidelines shall come into force with effect from 01.01.2020. CPE requirements The following are the requirements for undergoing CPE by an IP- An IP shall undertake a minimum of 10 credit hours of CPE each calendar year and a minimum 60 credit hours of CPE in each rolling block of 3 calendar years. An IP is not requi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... red to undertake any CPE in the calendar year in which he is registered. An IP shall undertake CPE even when his registration is suspended or he has ceased to have an authorization for assignment. An IP whose registration is suspended or who ceased to have an authorization or assignment shall undertake the backlog of CPE hours before he seeks revival of registration or authorization for assignment, if he has not undertaken CPE as required above. The minimum CPE of 10 hours may be exempted by the IPA for a year on an application by the IP, provided that the IP undertakes a minimum of 60 hours in every rolling block of 3 years. Within 7 days on completion of a learning activity, an IP shall ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... submit the details of learning activity and credit hours earned by him, as required by the IPA. The IPA shall take note of the credit hours earned by an IP, on being satisfied that the IP has earned credit hours in accordance with the guidelines. Learning activity An IP may earn credit hours from the learning activities in two ways- By participation in learning activities offered by IBBI, an IPA, a registered valuer organization, a statutory professional institute, a university or any other entity, as approved by IBBI from time to time; By publishing articles/delivering lectures. Relevant areas The following are the relevant areas for IPs ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for the purpose of CPE- General- Laws of Insolvency and Bankruptcy; Emerging jurisprudence; UNCITRAL legislative Guide (Part I, II, III and IV); Interface with Company Law; Corporate Affairs and Corporate Governance; Interface with tax laws; Interface with Foreign Exchange Laws; Interface with securities laws; Interface with property laws; Interface with Labor laws; Economics of Insolvency and Bankruptcy; UNCITRAL Legislative Guide; Financial Markets; Indian Constitution. Insolvency Professionals- Appearan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ce before Adjudicating Authority; Agreements and contracts; Companies Act, 2013; Finance for IPs; Statistics for IPs; Data management for IPs; Using services of Information Utilities; Record keeping and maintenance; Management and Leadership for IPs; Medication, Conciliation and Negotiation for IPs; Artificial Intelligence for IPs; Valuation for IPs; Forensic audit for IPs; Avoidance transactions for IPs; Hiring and supervising other professionals; Conflict of interests; Remuneration for IPs; Code of conduct for IPs; ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Transparency and disclosures to IBBI, IPA and stakeholders; Risk management by IPs; Inspection and investigation by IBBI and IPA; Disciplinary proceedings by IBBI and IPA; Grievance Redressal; Best practices. Corporate Insolvency Resolution Process- CIRP Regulations; Taking over the corporate debtor; Moratorium; Dealing Committee of Creditors and their meeting and voting; Interim Finance; Running the Corporate Debtor as a going concern; Hostile situations Handling Crowds, Unlawful assemblies, Law and Order problems, dealing with non co-operation; ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Information Memorandum; Administering Section 29A; Compliance with applicable laws under section 30(2)(2) of the Code; Form H Certificate; Fast track CIRP; Group Insolvency; Cross border insolvency; Pre-packs; Balancing interests of stakeholders; Treatment of MSME; Post resolution plan for management; Ethics, integrity, fairness and equity; Best practices. Liquidation process- Liquidation process regulations; Voluntary liquidation regulations; Liquidation Estate; Sale under regulation 32 of Liquidation regulat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ions; Sale as a going concern; Moratorium; Managing stakeholders; Best practices. Individual Insolvency- Fresh Start process; Individual Insolvency Process; Bankruptcy process; Insolvency and bankruptcy of personal guarantors; Micro finance and indebtedness; Best practices. Any other topic to be added or removed from the list depending upon the evolving environment. Credit hours for learning activity The following are the learning activities relevant for IPs and the credit hours to be awarded for such learning activity- Worksho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ps, conferences, seminars, training programs, refresher programs, certificate courses, conventions and symposia Half day 2 hours; full day 4 hours; Acting faculty in any one of the above activities Half day 2 hours; full day 4 hours; Publication of article in any national newspaper 4hours; Publication of article in the journal of IBBI, an IPA, a RVO, a professional institute or a referred national or international journal- 8 hours; Publication of book 30 hours in the year of publication; Completing a two year course post graduation course 20 hours in the year of completion; Completing Ph.D 40 hours in the year of conferment of Ph.D; ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Passing in Limited Insolvency Examinations 40 hours in the year of passing; Pass in valuation examination of an asset class 20 hours in the year of passing; Monitoring by IPA The IPA shall monitor and maintain records of CPE in respect of its professional members in a manner accessible to IPs and the Board. These records shall include the details of learning activity undertaken by the IP, year wise and rolling back wise, including dates of each learning activity, the area of such activity, the credit hours earned for such activity. The IPA shall submit an exception report every quarter to the Board and make available detailed records to the Board when called upon to do so. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Board shall make random check to verify the quality of learning activity and records of the IPA in respect o CPE of their professional members. Non compliance An IP, who fails to earn the required credit hours, shall be deemed to have contravened the provisions of regulation 7(2)(ba) of IBBI (Insolvency Professionals) Regulations, 2016 read with Clause 10 of the Code of Conduct. - - Scholarly articles for knowledge sharing authors experts professionals Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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