The Insolvency and Bankruptcy Board of India (IBBI) has proposed to include an option of mediation for operational creditors (OCs) under the Insolvency and Bankruptcy Code (IBC), as it aims to cut the load of National Company Law Tribunals (NCLTs). According to discussion paper floated by the IBBI on Monday, the OCs would exercise the option of mediation before filing insolvency applications under the Section 9 of the IBC. This is the same provision which allows OCs to initiate corporate insolvency resolution process (CIRP) against corporate debtor (CD) over non-payment of dues. However, if the mediation fails to reach settlement, the mediator will be asked to prepare a non-settlement report which shall be annexed with the application for initiation of CIRP before the Adjudicating Authority (AA). The mediation, as proposed, will take place as per the process prescribed under the Mediation Act, 2023. The IBBI has sought comments on the proposal from stakeholders till November 24.