Trust only true currency for insolvency professionals: Official

Corporate Affairs Secretary Deepti Gaur Mukherjee on Saturday emphasised the importance of the code of conduct for insolvency professionals and said their financial intellect will be useless if there is no “ethical anchor”.

Trust is the only true currency, and the Code of Conduct under the Insolvency and Bankruptcy Code (IBC) is non-negotiable, she said.

The secretary was speaking at the convocation ceremony of 6th Batch of Post Graduate Insolvency Programme (PGIP) and a conference on a decade of insolvency reforms in the national Capital.

The course is offered by the Indian Institute of Corporate Affairs (IICA).

“All your financial intellect, your intellect and strategic thinking are completely useless if you don’t have an ethical anchor,” Mukherjee said.

According to her, the spirit of IBC is important, and the insolvency professionals should never misrepresent facts.

IBC provides a framework for a market-linked and time-bound resolution of stressed assets. The Code is implemented by the Corporate Affairs Ministry.

Insolvency professionals play a key part in the IBC ecosystem.

“We cannot outsource our fundamental duties..., Mukherjee said and highlighted the need for integrity, objectivity and impartiality.

She also said the insolvency professionals should look to maximise the value of assets as well as exhaust each and every avenue to revive an entity.

The convocation ceremony and the conference, IICA, in association with the Association of Insolvency Professional Entities (AIPE).