IBBI has collaborated with the Indian Banks' Association (IBA) to facilitate the auction of assets through the eBKray platform which is presently owned and managed by PSB Alliance Private Limited (a consortium of 12 publ

Centralized Electronic Listing and Auction Platform for the Sale of Assets under Liquidation Process (IBBI Circular dated 29th October, 2024) The IBBI Circular dated 29th October, 2024, addresses the need for a centralized listing and auction platform for assets under liquidation. This circular has sought for a centralised listing and auction platform where details of all assets under liquidation of CD are continuously available to the public provides an effective solution to the problems arising from use of various auction platforms by the liquidators to sell the assets and thereby making the details of a company's assets public only at the time of the auction notice. This practice leads to information asymmetry, as potential buyers have limited time to assess the value of the assets, often resulting in lower recovery rates. This circular shall come into force with effect from 01st November 2024. Regulation 33 (1) of the IBBI (Liquidation Process) Regulations, 2016 (Liquidation Regulations) provides that, "The liquidator shall ordinarily sell the assets of the corporate debtor through an auction in the manner specified in Schedule I." Further, Clause (7) of Para 1 of Schedule I of the Liquidation Regulation provides that, "From a date to be notified through circular by the Board, the liquidator shall sell the assets only through an electronic auction platform empanelled by the Board." To address the challenges, IBBI has collaborated with the Indian Banks' Association (IBA) to facilitate the auction of assets through the eBKray platform which is presently owned and managed by PSB Alliance Private Limited (a consortium of 12 public sector banks). eBKray has been conducting auctions for assets mortgaged to public sector banks under the SARFAESI Act for the past five years. Accordingly, PSB Alliance has developed a module within the eBKray platform to facilitate the listing and auction of assets under Insolvency and Bankruptcy Code, 2016. This centralized platform offers detailed information on corporate debtor assets, including photographs, videos, and geographical coordinates. By enhancing transparency and efficiency through advanced technology, eBKray aims to increase bidder participation, streamline operations, and maximize returns for creditors while improving outcomes for bidders.