Sections 215 and 216 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 215 deals with who submits financial information to an information utility and how. A financial creditor "shall" submit it; an operational creditor "may". Section 216 lets a person correct what he has submitted, and bars him from passing the information to others except as specified. The Insolvency and Bankruptcy Code (Amendment) Act, 2026 changes section 215 in three ways: a new heading, an operational creditor "shall", before filing an application under section 9, submit information, and a new sub-section (4) on authentication by the corporate debtor or debtor.
As per the IBBI consolidated text of the Code amended up to 12 August 2021, a financial creditor shall submit financial information and information on assets carrying a security interest, while an operational creditor may submit. The 2026 Act turns the operational creditor's "may" into "shall, before filing an application under section 9 of the Code", and adds a sub-section under which the corporate debtor or debtor must authenticate the information, failing which it is deemed authenticated. Section 216 lets the submitter update or correct information and restricts onward disclosure.
Section 215 as printed in the consolidated text
Sub-section (1) is general: "Any person who intends to submit financial information to the information utility or access the information from the information utility shall pay such fee and submit information in such form and manner as may be specified by regulations." It covers both sides, the person who submits and the person who accesses. The fee and the form are left to regulations.
Sub-section (2) is directed at one class: "A financial creditor shall submit financial information and information relating to assets in relation to which any security interest has been created, in such form and manner as may be specified by regulations." The word is "shall". The sub-section is silent on the consequence of not submitting, and this article adds none.
Sub-section (3) is directed at another: "An operational creditor may submit financial information to the information utility in such form and manner as may be specified." The word is "may", and no time or trigger is mentioned.
The terms follow the Code's own definitions: a financial creditor is one to whom a financial debt is owed and an operational creditor one to whom an operational debt is owed (our post on financial creditors and operational creditors gives the contrast). Operational creditors, such as suppliers, who want their records to count, can take a recovery notice route to organise their dues alongside these submissions.
What the Amendment Act, 2026 changes
Section 62 of the Insolvency and Bankruptcy Code (Amendment) Act, 2026 (No. 6 of 2026) amends section 215 in three places.
| As printed in the consolidated text | After the 2026 Act |
|---|---|
| Heading: "Procedure for submission, etc. of financial information." | Heading: "Submission and authentication of financial information to information utilities." |
| (3) An operational creditor may submit financial information to the information utility in such form and manner as may be specified. | (3) An operational creditor shall, before filing an application under section 9 of the Code, submit financial information to the information utility in such form and manner as may be specified. (built from the Act's words) |
| (no sub-section (4)) | (4) The corporate debtor or debtor, as the case may be, in respect of whom any information is submitted under this section, shall authenticate the information in such manner and within such period, as may be specified: Provided that where the corporate debtor or debtor does not respond to the information submitted to the information utility in the manner and period as has been specified, such information shall be deemed to be authenticated. |
Points to note on the new words:
- Trigger. The operational creditor's duty is tied to "before filing an application under section 9 of the Code". The words are the Act's. The Act prints no consequence of failing to submit and none is added here. Section 9 itself is explained in our post on the section 9 application by an operational creditor.
- Who authenticates. The corporate debtor or debtor "in respect of whom any information is submitted" authenticates, in the manner and within the period specified.
- Silence is treated as authentication. If the corporate debtor or debtor "does not respond ... in the manner and period as has been specified", the information "shall be deemed to be authenticated". The manner and period are not in the Code; section 70 of the Amendment Act adds a regulation-making clause "(zzwa) the manner and period under sub-section (4) of section 215;" to section 240(2).
- Link with section 214. Clause (e) of section 214 (see article 126) already requires the utility to get information authenticated by all concerned parties before storing it.
Example (invented). Kaveri Packaging, a supplier, is owed money by Greenfield Foods Private Limited under unpaid invoices. After the 2026 Act, Kaveri submits financial information to an information utility before it files an application under section 9. The utility records it, and Greenfield, as the corporate debtor, must authenticate it in the specified manner and period. If Greenfield does not respond in that manner and period, the proviso deems the information authenticated. What the specified manner and period are is not in the texts consulted.
The Amendment Act, 2026 comes into force on the date or dates the Central Government notifies; the notification is not in the texts consulted, so check whether this change has been notified. The sub-section (3) and (4) wording above is therefore the wording "after the 2026 Act", not a statement of how the section reads for any given filing.
Section 216: updating information and onward disclosure
Sub-section (1): "A person who intends to update or modify or rectify errors in the financial information submitted under section 215, he may make an application to the information utility for such purpose stating reasons therefor, in such manner and within such time, as may be specified". The printed sentence is awkward ("A person ... he may") and has no full stop; it is quoted as printed. The right is to apply, stating reasons, in the specified manner and time.
Sub-section (2): "A person who submits financial information to an information utility shall not provide such information to any other person, except to such extent, under such circumstances, and in such manner, as may be specified." The bar is on the submitter. Whether the bar covers information that the submitter holds independently of the utility is not addressed in the text.
Section 240(2)(zzx) is the matching power: "the manner and the time within which financial information may be updated or modified or rectified under section 216". Section 216 is not amended by the 2026 Act.
Rules and regulations
The set that implements these sections is the Insolvency and Bankruptcy Board of India (Information Utilities) Regulations, 2017; the copy consulted is amended up to 02-06-2026. The date of that copy does not show that any provision of the Amendment Act, 2026 is in force.
Amendments and notifications made after 12 August 2021, other than the Amendment Act, 2026, are not in the texts consulted and should be checked.
Need help with records before a section 9 application?
Suppliers and service providers who may need to move against a defaulting buyer should have their financial information in order first. We can advise on the preparation in a recovery notice and on the path that follows.
Key takeaways
- Under the consolidated text a financial creditor "shall" submit financial information and security-interest asset information; an operational creditor "may".
- The 2026 Act makes it "shall, before filing an application under section 9 of the Code" for the operational creditor.
- The corporate debtor or debtor must authenticate in the specified manner and period; silence leads to deemed authentication.
- Section 216 lets a submitter apply to update, modify or rectify errors, and restricts onward disclosure.
- The Amendment Act, 2026 comes into force by notification; check whether this change has been notified.
Read next
- Sections 212 to 214: governing board, core services and obligations of an information utility
- Sections 209 to 211: registration of an information utility and appeal
- Sections 217 and 218: complaints against and investigation of service providers
- Demand notice by an operational creditor
Disclaimer: Based on the IBBI consolidated text of the Insolvency and Bankruptcy Code, 2016 amended up to 12 August 2021 and on the Insolvency and Bankruptcy Code (Amendment) Act, 2026 (No. 6 of 2026), which comes into force on the date or dates notified by the Central Government, as consulted on 2 October 2026. It explains the words of the statute only; commencement notifications, other amendments made after 12 August 2021, notified thresholds, the rules and IBBI regulations, and the way tribunals and courts apply these sections should be checked. This article is general information, not legal advice; check the official text before acting.