IBC 2016

Who is an ‘Operational Creditor’ under IBC:

• A creditor whose liability subsists upto 6 months and is listed in the balance sheet

• . A person to whom an operational debt is owed and includes any person to whom such debt has been legally assigned or transferred.

• Any creditor listed in the balance sheet of the corporate debtor.

• Any person that has advanced loan to another party.

Which of the following is not an operational debt:

• Deferred income tax

• Payment to be made to the supplier of the Company.

• Retirement benefits payable under pension plan

• Any amount raised under any other transaction, including any forward sale or purchase agreement, having the commercial effect of a borrowing.

When can CIRP be initiated:

• The minimum amount of default is Rupees Five Lakh or such higher amount which shall not exceed Rupees Two Crore.

• The minimum amount of default is Rupees One Lakh or such higher amount which shall not exceed Rupees One Crore

• The minimum amount of default is Rupees Ten Lakh or such higher amount which shall not exceed Rupees Three Crore.

• The minimum amount of default is Rupees Eight Lakh or such higher amount which shall not exceed Rupees Three Crore.

Who is a Financial Creditor under IBC:

• Any person to whom a financial debt is owed and includes a person to whom such debt has been legally assigned or transferred to

• Any person that has a claim on the services of a second party.

• Any person to whom a financial debt is owed.

• Any person who owes financial debt to another.

What is the voting requirement for approval of resolution plan by creditors:

• 85 percent of voting shares

• 66 percent of voting shares

• 75 percent of voting shares

• 90 percent of voting shares

Who constitutes the committee of creditors:

• Insolvency professional.

• Financial or operational creditor.

• Interim resolution professional.

• Adjudicating Authority