IBC Section 104: Preparation of list of creditors

Section 104 of Insolvency and Bankruptcy Code, 2016: Preparation of list of creditors

Official Bare Act Text

Override / Mandate Mens Rea (Intent) Actus Reus (Conduct) Punishment Limitation Monetary

(1) The resolution professional shall prepare a list of creditors on the basis of-

(a) the information disclosed in the application filed by the debtor under section 94 or 95, as the case may be;

(b) claims received by the resolution professional under section 102.

(2) The resolution professional shall prepare the list mentioned in sub-section (1) within thirty days from the date of the notice.

Legal Commentary & Landmark Judgments: Section 104

Section 104 mandates that the Resolution Professional must prepare and maintain a comprehensive list of creditors within thirty days from the date of the public notice.

30-Day Preparation Deadline: The resolution professional shall prepare a list of creditors on the basis of the information disclosed in the application and claims received under Section 102 within thirty days of public notice.
Contents of Creditor List: Must state names of creditors, amounts of claims admitted, security interests held, and voting share percentage of each creditor.
Inspection by Stakeholders: The list of creditors shall be open for inspection by creditors, debtor, and partners.
Foundation for Voting Rights: Serves as the conclusive basis for voting rights at the meeting of creditors under Section 109.

Key Landmark Precedents:

Dilip B. Jiwrajka v. Union of India (2024) 5 SCC 436: The Supreme Court noted that the preparation of the list of creditors under Section 104 forms the institutional foundation for the democratic voting on the repayment plan.
Lalit Kumar Jain v. Union of India (2021) 9 SCC 321: Affirmed that verified creditor lists ensure that only genuine financial and operational stakeholders participate in restructuring decisions.

Courtroom Practice & Strategic Litigation Guidance:

Examine the Section 104 list of creditors as soon as it is published by the RP. If a creditor's admitted claim is undervalued or an unauthorized claimant is included, immediately file an objection before the RP under Section 104(3).