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INSOLVENCY AND BANKRUPTCY BOARD OF INDIA
(Disciplinary Committee)
No. IBBI/DC/69/2021
15th March, 2021

Order

In the matter of Mr. Kiran Chinubhai Shah, Insolvency Professional (IP) under Regulation 11 of the Insolvency and Bankruptcy Board of India (Insolvency Professional) Regulations, 2016 read with section 220 of the Insolvency and Bankruptcy Code, 2016.

Background

1. This Order disposes of the Show Cause Notice (SCN) No. IBBI/IP/R(INSP)/2019/19/230/821 dated 24th September, 2020 issued to Mr. Kiran Chinubhai Shah, 608, Sarkar 1, Near Gandhigram Railway Station, Opp. Nehru Bridge, Ashram Road, Ahmedabad, Gujarat 380009, who is a Professional Member of the Indian Institute of Insolvency Professionals of ICAI (IPA) and an Insolvency Professional (IP) registered with the Insolvency and Bankruptcy Board of India (IBBI) with Registration No. IBBI/IPA-001/IP-P00480/2017-18/10868.

1.1 Mr. Shah was appointed as an interim resolution professional (IRP) and/ or resolution professional (RP) in corporate insolvency resolution process (CIRP) of 5 Corporate Debtors (CDs), viz., ORG Informatics Limited (CD 1) vide order dated 27.11.2018 passed by Hon’ble NCLT, Ahmedabad Bench, UIC Corporation Private Limited (CD 2) vide order dated 19.02.2019 passed by Hon’ble NCLT, Ahmedabad Bench, API Industries Private Limited (CD 3) vide order dated 19.02.2019 passed by Hon’ble NCLT, Ahmedabad Bench, Hardik Industrial Corporation Private Limited (CD 4) vide order dated 19.02.2019 passed by Hon’ble NCLT, Ahmedabad Bench and Shri Jalaram Rice Industries Private Limited (CD 5) vide order dated 12.04.2019 passed by Hon’ble NCLT, Ahmedabad Bench.

1.2 In exercise of its power under section 196 of the Code read with the IBBI (Inspection and Investigation) Regulations, 2017 (Inspection Regulations), the IBBI vide Order dated 3rd October, 2019 appointed an Inspecting Authority (IA) to conduct an inspection of Mr. Kiran Chinubhai Shah, for the purposes as provided under sub-regulation (4) of regulation (3) of the Inspection Regulations.

1.3 The IA, in its report dated 31st January, 2020 observed that Mr. Shah has violated section 208(2)(a) of the Insolvency and Bankruptcy Code, 2016 (Code) and Regulations 27 and 34 of IBBI (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 (CIRP Regulations), Regulation 7(2)(a) and (h) of the IBBI (Insolvency Professionals) Regulations, 2016 (IP Regulations) read with clauses 2, 10, 12, 13, 14 and 25 of the First schedule to the IP Regulations.

1.4 The IBBI had issued the SCN on 24 th September, 2020 to Mr. Shah, on the basis of material available on record including report of IA, in respect of his role as an IRP and/or RP in the CIRPs of the aforesaid CDs.

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