Regulation 31B

(1) All insolvency resolution process costs incurred till the first meeting of the committee, along with the justification for incurring such costs, shall be placed by the resolution professional for the approval of the committee at its first meeting. (2) The resolution professional shall prepare a Going Concern Assessment Report which shall include — (a) estimated income, expenditure and cash flows arising from continuation of operations; (b) details of working capital requirements, if any; and (c) material risks of value erosion arising from continuation or suspension of operations. (3) The resolution professional shall place the Going Concern Assessment Report prepared under sub-regulation (2) at the first meeting of the committee and based on such Going Concern Assessment Report, the committee shall decide whether the operations of the corporate debtor shall be continued and, if so, the scope and duration of such operations. (4) After the first meeting of the committee of creditors, all insolvency resolution process costs shall be incurred only with the prior approval of the committee. (5) For the purpose of sub-regulation (4), the resolution professional shall, at each meeting of the committee— (a) place statements of estimate of income, expense and cash flow for the period up to the next meeting; 113 Inserted by Notification No. IBBI/2023-24/GN/REG102, dated 20th July, 2023. 114 Substituted by Notification No. IBBI/2026-27/GN/ REG153, dated 08th June, 2026 (w.e.f. 09-06-2026). Before substitution, the words stood as under: - “31B. Approval of committee for insolvency resolution process costs. The insolvency professional shall place in each meeting of the committee, the operational status of the corporate debtor and shall seek its approval for all costs, which are part of insolvency resolution process costs.”.

(b) seek approval for insolvency resolution process costs proposed to be incurred until the next meeting; and (c) place a statement comparing actual insolvency resolution process costs with the estimates of costs approved by the committee in the previous meeting.]