Grant of in-principle approval.
10. (1) Any person who seeks to establish an insolvency professional agency may make an application for an inprinciple approval, demonstrating that the conditions in sub-regulation (2) are satisfied, along with a nonrefundable application fee of ten lakh rupees.
(2) If the Board is satisfied, after such inspection or inquiry as it deems necessary, that:–
(a) the applicant is a fit and proper person; and
(b) the proposed or existing company which may receive registration would be able to meet the requirements for grant of registration under Regulation 5(1), it may grant in-principle approval which shall be valid for a period not exceeding one year and be subject to such conditions as it deems fit.
(3) During the validity of in-principle approval, the company referred to sub-regulation 2(b) may make an application for a certificate of registration as an insolvency professional agency to the Board in accordance with Regulation 4(1), but shall not be required to pay the application fees for registration.