IBBI Cancels Registration of Valuer for Non-Compliance with Eligibility Norms Under Valuation Rules

Key Facts and Findings

The Insolvency and Bankruptcy Board of India (IBBI) has cancelled the registration of Mr. Purnabrat Shankar Das, a registered valuer in the asset class of plant and machinery, for failure to meet mandatory eligibility conditions under the Companies (Registered Valuers and Valuation) Rules, 2017.

The action follows a Show Cause Notice issued in November 2025 based on disciplinary findings of the IOV Registered Valuers Foundation (IOV-RVF), which had expelled the valuer from its membership in December 2024. Membership of a registered valuers organisation is a mandatory condition for registration under Rule 3 read with Rule 7 of the Valuation Rules.

The IBBI noted that the valuer failed to comply with regulatory requirements, including non-payment of membership fees, non-submission of returns, and failure to meet continuing professional education obligations. Despite being granted an opportunity to respond and additional time to restore membership, no evidence of compliance was furnished.

The valuer cited medical reasons and sought deferment of action; however, the Authority found no material basis to keep proceedings in abeyance.

Holding that the valuer ceased to satisfy the eligibility criteria upon expulsion from the registered valuers organisation, the IBBI exercised its powers under Rule 15 and Rule 17 to cancel the registration with immediate effect.

The order clarifies that fresh registration may be sought upon obtaining valid membership of a registered valuers organisation in accordance with applicable rules.