Corporate Insolvency Resolution Process (CIRP)
When a company defaults on its financial commitments, the Corporate Insolvency Resolution Process (CIRP) becomes the lifeline for restructuring and business revival.
CIRP, governed by the Insolvency & Bankruptcy Code (IBC), aims to rescue financially stressed companies through a time-bound and transparent mechanism.
It protects creditors, safeguards assets, and gives companies a structured opportunity to recover instead of directly heading toward liquidation.
From filing applications before NCLT to appointing an IRP/RP, inviting claims, and approving resolution plans — every step follows strict timelines.
At Aarthika, we guide businesses, creditors, and professionals through the entire CIRP journey with precision, compliance, and expert representation.
Let’s decode NCLT-CIRP in a clear, practical, business-friendly way.
Documents Required
- Loan agreements / invoices / contracts
- Bank statements & proof of default
- Correspondence with debtor/creditor
- Financial statements
- Certificate from financial institution (for Sec. 7 cases)
- Demand notice & proof of service (for Sec. 9 cases)
- MOA, AOA or LLP Agreement
- List of creditors, claims & security details
- Affidavits, petitions & IBC-prescribed forms
FAQs
Financial creditors, operational creditors, or the corporate debtor itself (Sections 7, 9, and 10).
A default of at least ₹1 Crore (as notified by MCA) in repayment of dues.
They take over management, verify claims, run operations, form the Committee of Creditors (CoC), and examine resolution plans.
180 days, extendable to a maximum of 330 days in exceptional cases.
Yes, but under the supervision of the IRP/RP. The management’s powers are suspended.
A group of financial creditors who make key decisions regarding the company’s revival and approve resolution plans.