Authorised Representative Can be Replaced by Procedure Provided under Regulation 16(3A) of CIRP Regulations: NCLAT

The NCLAT clarified that an authorised representative in the Insolvency and Bankruptcy Code (IBC) process can be replaced through the procedure outlined in Regulation 163A of the CIRP (Corporate Insolvency Resolution Process) regulations. This regulation allows a creditor or corporate debtor to replace their representative if the need arises during the insolvency process, provided the necessary formalities are followed. The tribunal highlighted that the replacement must be in line with the regulatory framework to ensure transparency and fairness in the process. The ruling underscores the flexibility offered under the IBC for entities to make such changes during insolvency proceedings.