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IBC LIE - 1

Total questions: 10

Worksheet time: 5mins

Name
Class
Date
1.

Can an Adjudicating Authority order the liquidation of a corporate debtor before The expiry of the insolvency resolution process period:

a)

No, an Adjudicating Authority cannot order the liquidation of a corporate debtor before the expiry of the insolvency resolution process period

b)

As per the discretion of the Adjudicating Authority

c)

Yes, if the Adjudicating Authority rejects the resolution plan

d)

Yes, if the interim resolution professional does not constitute Committee of Creditors

2.

Q.2. Who is the Adjudicating Authority for dealing with the liquidation matter of corpora Persons:

a)

National Company Law Tribunal

b)

Insolvency and Bankruptcy Board of India

c)

Company Law Board

d)

Delhi High Court

3.

Who is the Adjudicating Authority for dealing with the liquidation matter of a Limited Liability partnership:

a)

Insolvency and Bankruptcy Board of India

b)

National Company Law Tribunal

c)

Delhi High Court

d)

Company Law Board

4.

Can an Adjudicating Authority order the liquidation of a corporate debtor even After approving the resolution plan:

a)

Yes, if the resolution plan is contravened

b)

The Adjudicating Authority may order the liquidation of a corporate debtor even after approving the resolution plan on receiving an application from a third party who is unaffected by such liquidation

c)

Yes, the Adjudicating Authority may order for the liquidation of a corporate debtor if the committee of creditor does not approve the resolution plan after its approval by the Adjudicating Authority

d)

No, the Adjudicating Authority cannot order the liquidation of a corporate debtor after approving the resolution plan

5.

What are the actions consequent upon the passing of the liquidation order by the Adjudicating Authority:

a)

Public Announcement

b)

Intimation to the authority with which corporate debtor is registered

c)

Public Announcement and Intimation to the authority with which corporate debtor is registered

d)

Public Announcement and Intimation to the Regional Director

6.

Under which of the following condition can an Adjudicating Authority order the Liquidation of corporate debtor:

a)

When the committee of creditors of corporate debtor decides to liquidate after the confirmation of resolution plan

b)

When half of the committee of creditors of corporate debtor decides to liquidate before the confirmation of resolution plan

c)

When half of the committee of creditors of corporate debtor decides to liquidate after the confirmation of resolution plan

d)

When the committee of creditors of corporate debtor decides to liquidate before the confirmation of resolution plan

7.

Whether any legal proceeding can be initiated by or against the corporate debtor after the passing of liquidation order by the Adjudicating Authority:

a)

No, the legal proceedings cannot be initiated by the liquidator on behalf of the corporate debtor after the passing of a liquidation order by the Adjudicating Authority.

b)

Yes, the legal proceeding can be initiated by the liquidator on behalf of the corporate debtor without prior approval of any authority

c)

Yes, the legal proceeding can be initiated by the liquidator on behalf of the corporate debtor with prior approval of the Adjudicating Authority

d)

Yes, the legal proceeding can be initiated by the liquidator on behalf of the corporate debtor subject to approval by the Committee of creditors

8.

What is the nature of liquidation order?

a)

Deemed to be a notice of discharge to the officers of the corporate debtor

b)

Deemed to be a notice of discharge to the financial creditor

c)

Deemed to be a notice of discharge to the officers and workmen of the corporate debtor

d)

Deemed to be a notice of discharge to the officers, employees and workmen of the corporate debtor

9.

Upon appointment of liquidator in a company, whose power shall be vested in the hands of the liquidator?

a)

Power of Executive Directors of the corporate debtor

b)

Power of Executive Directors and Independent Directors of the corporate debtor

c)

Power of Board of directors, Key Managerial Personnel and the partners of the corporate debtor

d)

Power of only Board of Directors of the corporate debtor

10.

Under which situation can an Adjudicating Authority replace the resolution professional from getting appointed as liquidator?

a)

When a resolution plan has failed to meet the requirements and has been rejected by the Adjudicating Authority

b)

When resolution plan is not approved by the committee of creditors of the corporate debtor

c)

When Board of the corporate debtor recommends the replacement after approval of resolution plan by Adjudicating Authority

d)

When IBBI recommends replacement without any reason to be recorded in writing