Liquidator fee calculation clarified; IPs must compute fees net of liquidation and CIRP costs and report adjustments. Clarification defines Amount realised as proceeds from sale of non-liquid assets, excludes cash and readily liquid securities from realisation; specifies 'other liquidation cost' as all priority liquidation costs under section 53(1)(a) except the liquidator's fee; defines 'Amount distributed to stakeholders' as distributions net of CIRP and liquidation costs; requires cumulative realisations/distributions to be apportioned across prescribed slabs and then by time periods to apply slab-specific percentage rates; permits exclusion of periods for fee calculation only when expressly ordered by a court; mandates IPs to rectify, report, and return any excess fee.
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Liquidator fee calculation clarified; IPs must compute fees net of liquidation and CIRP costs and report adjustments.
Clarification defines Amount realised as proceeds from sale of non-liquid assets, excludes cash and readily liquid securities from realisation; specifies "other liquidation cost" as all priority liquidation costs under section 53(1)(a) except the liquidator's fee; defines "Amount distributed to stakeholders" as distributions net of CIRP and liquidation costs; requires cumulative realisations/distributions to be apportioned across prescribed slabs and then by time periods to apply slab-specific percentage rates; permits exclusion of periods for fee calculation only when expressly ordered by a court; mandates IPs to rectify, report, and return any excess fee.
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