IBBI Suspends RP for Charging Higher Fee Without CoC Approval

IBBI's Disciplinary Committee held that a Resolution Professional cannot automatically claim the higher fee approved for an erstwhile RP merely because he succeeds that professional in the same CIRP. Under Regulation 34B(2) of the CIRP Regulations, a fee exceeding the prescribed minimum requires a decision by the applicant or CoC, supported by recorded reasons. The Committee rejected the argument that an earlier CoC approval and a subsequent undertaking to refund the excess could substitute this requirement. It suspended the RP's registration for one year and directed refund of the excess fee.