ANC Bank Ltd. filed a claim before the Liquidator of XYZ Pvt. Ltd., asserting itself as a secured creditor with a charge over the company's immovable property. The Liquidator questioned the validity of the security inter
CS Professional · Insolvency and Bankruptcy - Law and Practice · PYQS · June 2026
ANC Bank Ltd. filed a claim before the Liquidator of XYZ Pvt. Ltd., asserting itself as a secured creditor with a charge over the company's immovable property. The Liquidator questioned the validity of the security interest, as no records were available in any information utility. ABC Bank thereafter produced a Certificate of Registration of Charge along with the original mortgage deed and sanction letter as supporting documents. How can the existence of security interest be proved under IBBI (Voluntary Liquidation Process) Regulations, 2017?
Answer & Explanation:
As per Regulation 20 of the IBBI (Voluntary Liquidation Process) Regulations, 2017, the existence of a security interest may be proved by a secured creditor on the basis of: the records available in an information utility; certificate of registration of charge issued by the Registrar of Companies; proof of registration of charge with the Central Registry of Securitisation Asset Reconstruction and Security Interest of India; or other relevant documents which adequately establish the security interest.
Topics: IBBI (Voluntary Liquidation Process) Regulations, 2017
Related Questions in this Topic
- "A resolution application may submit a resolution plan along with an affidavit stating that he is eligible under section...
- Omega Infotech Private Limited, a corporate debtor, filed an application under Section 10 of the Insolvency and Bankrupt...
- A public sector bank, acting as a financial creditor, filed an application under Section 7 of the Insolvency and Bankrup...
- PQR Manufacturing Limited, a company engaged in the production of industrial equipment, defaulted on its financial oblig...
- Explain briefly on "Actions to avoid acts detrimental to creditors."