IBBI mandates eBKray auction platform for liquidation processes
In a significant move to enhance transparency and streamline the liquidation process, the Insolvency and Bankruptcy Board of India (IBBI) has mandated the exclusive use of the eBKray auction platform for asset sales during liquidation proceedings. The directive was issued through circular No. IBBI/LIQ/78/2024, dated October 29, 2024.
The circular instructs insolvency professionals (IPs) to list all unsold assets from ongoing liquidation cases exclusively on the eBKray platform. Additionally, IPs must use the platform for conducting auctions related to these assets.
The eBKray platform, currently in its pilot phase, has already shown promising results. To date, 210 assets have been listed, and 25 auctions have been either scheduled or conducted, signaling robust adoption of the platform. Based on user feedback, the platform is expected to undergo further enhancements.
As per the new directives, the use of eBKray will become mandatory from April 1, 2025, for all auctions related to liquidation cases. IPs are also required to ensure that all unsold assets from ongoing cases are listed on the platform by March 31, 2025.
The IBBI issued these directions under the powers conferred by Section 196 of the Insolvency and Bankruptcy Code, 2016. The move aligns with the Board’s broader goal of creating a more efficient and transparent insolvency resolution framework.
The eBKray platform is an online Listing and Auction platform owned and operated by PSB Alliance Private Limited (PSBA), a company jointly owned by 12 public sector banks (PSBs). This is a revamped version of the eBKray platform, which is being used by PSBs for conducting an auction under the SAREFAESI Act. The platform is designed to facilitate the listing and auctioning of assets, providing tools for Insolvency Professionals (IPs) to list assets and conduct auctions and for potential buyers to participate in these auctions.
The eBKray Portal is designed to provide users with a streamlined experience for accessing e-auctions facilitated by PSBA. Through this platform, users can easily search for properties/assets based on their interest, nature, type, and location, making it simple to find relevant auction opportunities. With just a few clicks, users can access detailed property information and participate directly in e-auctions, enhancing the overall efficiency and convenience of the e-auction process.
Also See: FAQs on the use of eBKray portal
