Insolvency and Bankruptcy Code, 2016 | Part IV | Chapter I

Section 188 IBC: Establishment and Incorporation of the Insolvency and Bankruptcy Board of India

Section 188 establishes the Insolvency and Bankruptcy Board of India (IBBI) as a statutory body corporate and specifies its legal personality, headquarters and power to open offices elsewhere in India.

Key point: The Board is the statutory regulator established under the Code. Section 188 deals with its establishment and corporate identity; its constitution and regulatory functions are addressed separately in Sections 189 and 196.

Section 188: Statutory provisions

188. (1) With effect from such date as the Central Government may, by notification, appoint, there shall be established, for the purposes of this Code, a Board by the name of the Insolvency and Bankruptcy Board of India.

(2) The Board shall be a body corporate by the name aforesaid, having perpetual succession and a common seal, with power, subject to the provisions of this Code, to acquire, hold and dispose of property, both movable and immovable, and to contract, and shall, by the said name, sue or be sued.

(3) The head office of the Board shall be at such place in the National Capital Region, as the Central Government may, by notification, specify.

Explanation. For the purposes of this section, the expression "National Capital Region" shall have the same meaning as assigned to it in clause (f) of section 2 of the National Capital Region Planning Board Act, 1985.

(4) The Board may establish offices at other places in India.

The statutory text above follows the supplied webpage. For authoritative amendments and commencement notifications, consult the official consolidated legislation linked below.

Meaning and legal effect of Section 188

Subsection (1): Establishment by notification

The Central Government is empowered to specify the commencement date for establishing the Board. Sections 188 to 194 were brought into force on 5 August 2016; the IBBI was established on 1 October 2016. This makes the Board a creature of statute rather than a private association or an ordinary government department.

Subsection (2): Separate corporate identity

A body corporate is a legal entity distinct from its office-holders. Perpetual succession means the institution continues notwithstanding changes in its Chairperson or members. Subject to the Code, IBBI may own or dispose of movable and immovable property, enter into contracts and initiate or defend proceedings in its own name. The statutory reference to a common seal is part of the corporate-status provision.

Subsection (3): Head office in the National Capital Region

The Central Government specifies the head office location by notification within the National Capital Region (NCR). The meaning of NCR is imported from Section 2(f) of the National Capital Region Planning Board Act, 1985; it should not be assumed to mean only the administrative limits of New Delhi.

Subsection (4): Other offices

IBBI may establish additional offices elsewhere in India. This enables administrative presence beyond its notified head office, without changing the statutory basis of the Board.

Provision	Subject and significance
Section 3(1)	Defines "Board" as the Insolvency and Bankruptcy Board of India established under Section 188(1).
Section 189	Constitution of the Board, including its Chairperson and members.
Sections 190 to 194	Removal, Chairperson's powers, meetings, conflicts of interest and validity of proceedings.
Section 196	Regulatory powers and functions of the Board.
Section 197	Constitution of advisory, executive or other committees.
Sections 201, 207 and 210	Registration frameworks for insolvency professional agencies, insolvency professionals and information utilities, respectively.

Why IBBI matters in insolvency regulation

IBBI is central to the Code's institutional architecture. It regulates insolvency professionals, insolvency professional agencies and information utilities, and frames regulations within powers delegated by the Code. The Board is distinct from the adjudicating authorities: the National Company Law Tribunal and Debt Recovery Tribunal exercise adjudicatory functions in matters assigned to them under the Code.

Section 188 does not itself confer every regulatory power on IBBI. Readers should refer to Section 196 and applicable regulations for the legal basis of specific oversight, inspection, registration and disciplinary functions.

Frequently asked questions

What does Section 188 of the IBC provide?

It establishes IBBI, confers corporate status, requires its head office to be in the notified NCR location and allows offices elsewhere in India.

Is IBBI the same as the NCLT?

No. IBBI is a regulator. The NCLT is an adjudicating authority for matters assigned to it by the Code.

Can IBBI enter into contracts or be sued?

Yes. Section 188(2) expressly gives it contractual capacity and the capacity to sue or be sued in its statutory name, subject to the Code.

Does Section 188 describe IBBI's membership?

No. The constitution of the Board is principally addressed in Section 189.

Official legal sources and further reading

Legal information for general reference. Consult the current statutory text, notifications and professional advice for any specific matter. Updated: 23 October 2026.