Operational Creditor

A person to whom an operational debt is owed arising from the provision of goods, services, employment, or dues to the government. Operational creditors can trigger CIRP but are not members of CoC.

Operational Creditor is governed by the Insolvency and Bankruptcy Code, 2016 and regulated by IBBI. Understanding this concept is essential for ensuring regulatory compliance, avoiding penalties, and making informed corporate decisions in India.

Operational Creditor is relevant for company secretaries, compliance officers, chartered accountants, corporate lawyers, board members, and all professionals dealing with IBC regulatory matters in India.