Section 24 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 24 sets the ground rules for committee of creditors meetings: they may be held in person or electronically, the resolution professional conducts them, notice goes to named groups, some non-members may attend without voting, and each creditor votes according to its voting share. This article reads it as per the IBBI consolidated text of the Code amended up to 12 August 2021. The Insolvency and Bankruptcy Code (Amendment) Act, 2026 does not amend section 24, but new section 21(11) says section 24 applies to the liquidation process "as the context may require".
The resolution professional conducts every meeting and must give notice to the committee members (including authorised representatives), the suspended board or partners, and operational creditors whose aggregate dues are not less than ten per cent. of the debt. The directors, partners and one representative of operational creditors may attend but cannot vote. Each creditor votes by its voting share, which the resolution professional determines in the manner the Board specifies.
Sub-sections (1) and (2): how meetings are held and who runs them
Section 24(1): the members of the committee of creditors "may meet in person or by such electronic means as may be specified." Section 24(2): "All meetings of the committee of creditors shall be conducted by the resolution professional." Section 24(8) leaves the manner of conducting meetings to be specified: "The meetings of the committee of creditors shall be conducted in such manner as may be specified." The first meeting is dealt with in section 22(1) (within seven days of constitution); see the sections 22 and 23 article.
Sub-section (3): who must get notice
The resolution professional "shall give notice of each meeting of the committee of creditors" to:
| Clause | Recipient |
|---|---|
| (a) | members of the committee of creditors, including the authorised representatives referred to in sub-sections (6) and (6A) of section 21 and sub-section (5) |
| (b) | members of the suspended Board of Directors or the partners of the corporate persons, as the case may be |
| (c) | operational creditors or their representatives if the amount of their aggregate dues is not less than ten per cent. of the debt |
Authorised representatives are covered in section 25A. The notice duty is the resolution professional's alone; the section does not say how many days' notice must be given or what the notice must contain. That is left to what may be specified under sub-section (8).
If you are an operational creditor wondering whether your dues reach the ten per cent. line, or a director who has not received notice, a legal consultation can check your position against the figures.
Sub-section (4): attendance without a vote
"The directors, partners and one representative of operational creditors, as referred to in sub-section (3), may attend the meetings of committee of creditors, but shall not have any right to vote in such meetings". The proviso says "the absence of any such direct or, partner or representative of operational creditors, as the case may be, shall not invalidate proceedings of such meeting". The text prints "direct or, partner" in place of "director, partner"; the slip is flagged and not corrected.
Example. Gill Auto Components Limited owes Rs 100 crore of debt in all. Its operational creditors together are owed Rs 12 crore, which is not less than ten per cent. of the debt. The resolution professional sends them notice of each meeting, and one of their representatives may attend but not vote. If the dues together were Rs 8 crore, clause (c) would not require notice to them as a group. The suspended directors still receive notice under clause (b); if none turns up, the meeting is not invalid.
Sub-section (5): an insolvency professional as representative
"Subject to sub-sections (6), (6A) and (6B) of section 21, any creditor who is a member of the committee of creditors may appoint an insolvency professional other than the resolution professional to represent such creditor in a meeting of the committee of creditors". The proviso says "the fees payable to such insolvency professional representing any individual creditor will be borne by such creditor." This is parallel to the options in section 21(6)(c); see the section 21 article.
Sub-sections (6) and (7): voting share
Section 24(6): "Each creditor shall vote in accordance with the voting share assigned to him based on the financial debts owed to such creditor." Section 24(7): "The resolution professional shall determine the voting share to be assigned to each creditor in the manner specified by the Board." Voting share is defined in section 5(28) (see the related party and voting share article); the sub-section says "financial debts", not operational debts. The percentage needed for a decision is set elsewhere; the general rule in section 21(8) is not less than fifty-one per cent. of voting share, save as otherwise provided.
Meetings in liquidation after the 2026 Act
The Amendment Act, 2026 (No. 6 of 2026) inserts a new sub-section (11) in section 21, which says that where liquidation is initiated under Chapter III, the committee "shall also supervise the conduct of the liquidation process by the liquidator, and the provisions of this section and section 24 shall apply to such liquidation process under Chapter III as the context may require". Section 24 itself is not amended. 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 Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 carry the specified detail on meetings; the copy consulted is amended up to 09-06-2026 as printed under its title. 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 preparing for a committee meeting?
Notice, attendance and voting share are the three points that decide whether a meeting runs cleanly. A legal consultation can help creditors, directors and professionals prepare or review the record of a meeting.
Key takeaways
- The resolution professional conducts all meetings; members may meet in person or by specified electronic means.
- Notice goes to committee members and authorised representatives, the suspended board or partners, and operational creditors with aggregate dues of not less than ten per cent. of the debt.
- Directors, partners and one representative of operational creditors may attend but cannot vote; their absence does not invalidate a meeting.
- Each creditor votes by voting share, determined by the resolution professional in the manner the Board specifies.
- Section 24 is not amended by the 2026 Act, but new section 21(11) applies it to liquidation as the context requires.
Read next
- Section 21: committee of creditors
- Section 25A: authorised representative of financial creditors
- Section 28: actions needing the committee's approval
- Committee of creditors: constitution and voting
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.