The Insolvency and Bankruptcy Board of India (IBBI) has now mandated information utilities (IU) to use PAN or any other official document to verify the identity of users, who wish to seek information of corporate debtors.
The IU, under the Insolvency and Bankruptcy Code (IBC), is required to maintain an electronic database of information of any CD, with respect to records of its debt, balance sheet and cash flow statement, assets etc.
The IU allows its users (mainly creditors) to access real-time information of the CDs, to eliminate delays and disputes relating to claims and defaults. Earlier, the IBBI regulations didn’t make IUs to mandatorily verify the identity of its users.
Since the entire sharing of information and…
