RV Ceases to be Member of Any RVO on Losing Registration with IBBI: IBBI [Read Order]
RV – RV Ceases to be Member of Any RVO on Losing Registration with IBBI – IBBI – RVO – Registration – Taxscan
RV – RV Ceases to be Member of Any RVO on Losing Registration with IBBI – IBBI – RVO – Registration – Taxscan
The Disciplinary Committee of the Insolvency and Bankruptcy Board of India (IBBI) observed that Registered Valuers (RV) ceases to be member of any Registered Valuers Organisation (RVO) on loosing registration with IBBI.
It came to the notice of IBBI that the Disciplinary Committee of the Registered Valuers Organisation (RVO) of which Vinodkumar Bhagvanji Bhogayata (RV) is a member, had passed an Order dated 04th May 2023 thereby dismissing the RV from the membership of IIV-RVF. The Disciplinary Committee of IIV-RVF had found that the RV had obtained registration with IBBI in the year 2019 and yet he continued to be employed with Gujarat Industrial and Technical Consultancy Organisation Limited (GITCO).
In terms of rule 3(1)(a) of the Valuation Rules, being a member of a registered valuers organisation is a necessary eligibility condition for an individual to become a Registered valuer. Rule 7(a) of the Valuation Rules further makes it mandatory for a Registered Valuer to all time possess the necessary eligibility criteria as specified under rule 3.
Further, rule 7 (b) of the Valuation Rules prescribes that the registration of the valuer is subject to the condition that the valuer shall at all times comply with the provisions of the Act and the Rules. Furthermore, rule 7 (g) of the Valuation Rules prescribe that the registration of the valuer is subject to the condition that the valuer shall comply with the Model Code of Conduct (as per Annexure-I of the Rules) of the registered valuers organisation of which he is a member.
The show cause notice alleged that the RV has obtained the registration by making false statement, misrepresentation, and untrue statement. The SCN alleges that this conduct of RV has made him not ‘fit and proper’ person under rule 3(1)(k) to be registered as Registered Valuer under the Valuation Rules and has also violated clause 2 and 3 of the Model Code of Conduct.
A Single Member Bench comprising Sudhaker Shukla, Whole Time Member, observed that “In this perspective, once the RV ceases to be member of any RVO, he loses his registration with IBBI also. Therefore, in the instant case too, the registration of RV needs to be revoked in light of the order dated 04th May 2023 of Disciplinary Committee of IIV-RVF.”
The Board cancelled the registration Vinodkumar Bhagvanji Bhogayata and barred him from seeking fresh registration as Registered Valuer with IBBI, under the Valuation Rules for a period of two years from the date of coming into effect of this Order.
To Read the full text of the Order CLICK HERE
Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
