Summary
- The Insolvency and Bankruptcy Board of India has suspended insolvency professional Shri Venkata Sivakumar for three years over serious regulatory breaches during the liquidation of The Jeypore Sugar Company Limited.
- The suspension follows a complaint from IDBI Bank, revealing that Sivakumar transferred ₹70 lakh of corporate funds to a fixed deposit in his name after being replaced as liquidator.
- Investigations also uncovered failures in asset valuation, including the exclusion of a ₹1,087.98 crore property from the liquidation estate and improper handling of creditor consent for a compromise scheme.
- This disciplinary action underscores the importance of compliance within insolvency processes and may lead to stricter oversight of insolvency professionals in India.
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