Quick Answer: Who Can File Case Under IBC?

What is resolution plan under IBC?

A resolution plan is a proposal that aims to provide a resolution to the problem of the corporate debtor’s insolvency and its consequent inability to pay off debts.

It needs to be approved by the committee of creditors (“COC”), and comply with mandatory requirements prescribed in IBC..

Who can file under IBC?

When does the Insolvency and Bankruptcy Code (IBC) apply? The Insolvency and Bankruptcy code at present can only be triggered if there is a minimum default of Rs 1 lakh. This process can be triggered by way of filing an application before the National Company Law Tribunal (NCLT).

Is IBC applicable to individuals?

The IBC envisages reorganisation and insolvency resolution of corporate persons, partnership firms and individuals in a time bound manner for maximisation of value of assets of such persons, to promote entrepreneurship, availability of credit and balance the interests of all stakeholders.

Who appoints IRP under IBC?

After the order for the commencement of CIR is passed, an insolvency professional is appointed who acts as an IRP by the Adjudicating Authority. As provided by Section 17, on and from the date from which the IRP is appointed he is vested with the management of the affairs of the corporate debtor.

What is the purpose of IBC Code?

The purpose of the IBC Code is to provide an international standard for the safe carriage, in bulk by sea, of dangerous chemicals and noxious liquid substances. The code prescribes the design, construction and equipment standards of ships, especially of chemical tankers.

Who is a corporate debtor under IBC?

17. Who is a corporate debtor under IBC: A Any person that owes debt to a company. A company that owes debt to any person.

What is the minimum and maximum period of moratorium under IBC 2016?

Under Section 74 of the IBC, officials of the corporate debtor who violate provisions of moratorium can be imprisoned for a minimum of three years, which may be extended up to five years. Such officials will also be fined a minimum of Rs 100,000 but not more than Rs 300,000.

Who can file for insolvency under IBC 2016?

While sections 7 and 9 of the Insolvency and Bankruptcy Code, 2016 (‘the Code’), allow creditors of a defaulting company to apply for rendering the company insolvent, Section 10 provides the defaulting company itself, the right to approach the adjudicating authority i.e. National Company Law Tribunal to declare it …

Who can go to Nclt?

The NCLT bench is chaired by a Judicial member who is supposed to be a retired or a serving High Court Judge and a Technical member who must be from the Indian Corporate Law Service, ICLS Cadre.

What are the stages of IBC approach?

The IBC envisages resolution of such corporate insolvencies in a two-stage procedure. The first stage being the corporate insolvency resolution process (“CIRP”) and the second being the liquidation process.

Who is an applicant under section 7 of IBC?

(1) A financial creditor either by itself or jointly with other financial creditors other financial creditors, or any other person on behalf of the financial creditor, as may be notified by the Central Government,may file an application for initiating corporate insolvency resolution process against a corporate debtor …

Who will act as regulator under IBC 2016?

Who regulates the IBC proceedings? Insolvency and Bankruptcy Board of India has been appointed as a regulator and it can oversee these proceedings. IBBI has 10 members; from Finance Ministry and Law Ministry the Reserve Bank of India.