ICAI released Handbook on Enterprise Management of Corporate Debtor by Resolution Professional:

ICAI released Handbook on Enterprise Management of Corporate Debtor by Resolution Professional The Institute of Chartered Accountant of India(ICAI) has released Handbook on Enterprise Management of Corporate Debtor by Resolution Professional. The Insolvency and Bankruptcy Code, 2016 as we know has brought out a new regime in the debt resolution space with a paradigm shift from debtor in possession to creditor in control model. The Code has led to emergence of professional opportunities in the form of Insolvency Professionals who are an important pillar upon which rests the effective and timely functioning of the entire mechanism of the insolvency resolution process. The Committee on Insolvency & Bankruptcy Code of ICAI as part of its initiative in bringing relevant publications in the insolvency resolution area has brought out this publication – Handbook on Enterprise Management of Corporate Debtor by Resolution Professional to facilitate professionals in understanding the various functions and responsibilities while performing his duties and managing the business operations of the Corporate Debtor.

Enterprise Management: Basic Aspects and Role

Background The Insolvency and Bankruptcy Code, 2016 (“the Code” or “IBC”) has been a huge game changer in the process of managing stressed assets. The Code ushered in a new era in insolvency resolution arena where the control of the business of the Corporate Debtor (CD) has shifted to the creditors. One of the key objectives of the Code is to revive the business of the corporate debtor. The revival of the stressed and ailing business is intended to help grow the national economy. The Resolution Professional (RP) appointed under the Code is expected to get into the shoes of the CEO/Managing Director and effectively manage the business of the Corporate Debtor, make efforts to address the difficulties being faced by the Corporate Debtor and maximise the value of the stakeholders. Generally, the time when the Resolution Professional dons the mantle of the Chief of the business, there are several issues to be dealt with. The Resolution Professional navigates the process, controls the situation and keeps resolving the issues while managing the operations of the Corporate Debtor as a going concern and also aims that the Corporate Insolvency Resolution Process (CIRP) culminates in resolution rather than liquidation. Thus, it is evident that effective Enterprise Management is key to the conduct of Corporate Insolvency Resolution Process. Basic Aspects of Enterprise Management The term 'enterprise’ essentially refers to the business carried on with the objective of earning profit either in terms of money or in terms of creation of wealth. Without profit element, an enterprise may not be able to sustain for longer time as availability of funds is always an important limiting factor and enterprise will never be able to sustain unless funds are generated. To Read More Download PDF Given Below: