State Bank of India on Tuesday said it has signed an Information Utility (IU) agreement with National E-Governance Services Ltd (NeSL) to share financial and security information under the Insolvency and Bankruptcy Board of India (IU) regulation 2017.
The agreement comes in the wake of Reserve Bank of India advising all financial creditors regulated by it to adhere to the relevant provisions of Insolvency and Bankruptcy Code (IBC), 2016 and IBBI (IUs) Regulation 2017 and submit financial and security information to IU.
NeSL is the first IU registered with IBBI. The company has been set up by 17 financial institutions, including State Bank of India, Life Insurance Corporation of India, Bank of Baroda, Canara Bank, ICICI Bank.
Under IBC, IU will offer services for accepting electronic submission of financial information, recording the same safely and accurately, verifying and authenticating the financial information submitted by a person and providing access to information stored to persons specified by the IBBI Regulations.
Regulated by IBBI, IU serves the needs of the banking system by providing data to Insolvency Professionals/Adjudicating Authority/IBBI on the proof of borrowing, proof of default and security interest data in respect of NCLT (National Company Law Tribunal) cases while adhering to prescribed standards of information security.