Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Subject: Insolvency and Bankruptcy Code Total Number of Question: 40 Time: 41 Minutes All the best... Kind Regards CMA Madhuri Kashyap Profile: Click Here! Name Phone No Email Area Pincode 1. What is the main objective of the Insolvency and Bankruptcy Code, 2016? Promote entrepreneurship Balance the interests of all stakeholders Ensure the time-bound resolution of insolvency All of the above None 2. Which entity regulates the Insolvency and Bankruptcy Code, 2016? Reserve Bank of India Securities and Exchange Board of India Insolvency and Bankruptcy Board of India Ministry of Corporate Affairs None 3. Under IBC, the maximum time allowed for the Corporate Insolvency Resolution Process (CIRP) is: 90 days 180 days 330 days 365 days None 4. Which of the following is not a part of the IBC framework? National Company Law Tribunal Debt Recovery Tribunal Securities Appellate Tribunal Insolvency Resolution Professional None 5. Who can initiate the Corporate Insolvency Resolution Process (CIRP)? Financial creditor Operational creditor Corporate debtor All of the above None 6. What is the minimum default amount required to trigger insolvency proceedings under IBC? ₹50,000 ₹1 lakh ₹10 lakh ₹1 crore None 7. What does the resolution plan under IBC aim to achieve? Liquidate the company Maximize asset value Provide funds to the government None of the above None 8. The moratorium period under IBC prohibits: Filing or continuation of legal suits Recovery of property by secured creditors Disconnection of essential services All of the above None 9. Who appoints the Interim Resolution Professional (IRP)? National Company Law Tribunal Committee of Creditors Ministry of Corporate Affairs Board of Directors of the debtor company None 10. What is the minimum voting threshold for approving a resolution plan under IBC? 50% 60% 66% 75% None 11. Which section of IBC deals with voluntary liquidation of a corporate person? Section 59 Section 61 Section 62 Section 63 None 12. What is the role of a Resolution Professional? Manage the company during insolvency Submit the resolution plan Conduct CIRP All of the above None 13. Who constitutes the Committee of Creditors (CoC)? Operational creditors only Financial creditors only Shareholders and creditors Debtor and creditors None 14. Appeals against the NCLT's order under IBC can be made to: High Court Supreme Court National Company Law Appellate Tribunal Debt Recovery Tribunal None 15. What is the maximum penalty for violating IBC provisions? ₹5 lakh ₹1 crore ₹2 crore ₹10 crore None 16. Under which section can the Adjudicating Authority initiate insolvency proceedings? Section 4 Section 7 Section 9 Both B and C None 17. What is the primary focus of Section 53 under IBC? Distribution of assets during liquidation Appointment of resolution professional Conduct of CoC meetings Filing of appeal None 18. Which entity maintains the Insolvency and Bankruptcy Fund? Ministry of Finance Insolvency and Bankruptcy Board of India NCLT RBI None 19. Which of the following is not covered under IBC? Corporate insolvency Bankruptcy of individuals Resolution of partnership firms Disputes between directors None 20. What is the minimum tenure of a moratorium under IBC? 30 days 90 days 180 days 270 days None 21. Which section of IBC empowers the Central Government to notify the applicability of the code to partnerships and proprietorships? Section 2 Section 3 Section 4 Section 5 None 22. The IBC provides for cross-border insolvency under which section? Section 234 and 235 Section 223 and 224 Section 241 and 242 Section 255 None 23. What is the meaning of liquidation under IBC? Selling the company to another entity Sale of the company’s assets to repay debts Merging the company with another entit None of the above None 24. Who is the Adjudicating Authority for individuals and partnership firms under IBC? National Company Law Tribunal (NCLT) Debt Recovery Tribunal (DRT) High Court Supreme Court None 25. What is the minimum time within which a resolution plan must be implemented after approval by NCLT? 30 days 60 days 90 days 120 days None 26. Under IBC, who prepares the Information Memorandum? Committee of Creditors Resolution Professional Corporate Debtor Operational Creditor None 27. Under Section 29A, who is ineligible to submit a resolution plan? Defaulters Related parties to defaulters Wilful defaulters All of the above None 28. What is the role of Information Utilities under IBC? To provide credit-related information To store financial information To facilitate insolvency proceedings All of the above None 29. Which section of IBC prescribes the duties of the Liquidator? Section 32 Section 35 Section 38 Section 39 None 30. How many members are required for a quorum in a CoC meeting under IBC? 25% of voting share 33% of voting share 50% of voting share 66% of voting share None 31. Under IBC, financial creditors in a CoC meeting vote based on: Equal representation Amount of debt owed Debtor’s discretion NCLT’s approval None 32. What is the time limit for submitting an insolvency application by a corporate debtor? 7 days 14 days 21 days No specific time limit None 33. The Fast Track Insolvency Resolution Process is applicable to companies with a turnover of less than: ₹1 crore ₹5 crore ₹10 crore ₹50 crore None 34. What is the minimum default amount for initiating insolvency against MSMEs under IBC? ₹10,000 ₹50,000 ₹1 lakh ₹10 lakh None 35. In case of liquidation, the secured creditor may: Enforce security outside the liquidation process Surrender security and claim as unsecured creditor Both A and B Neither A nor B None 36. What is the role of the Insolvency and Bankruptcy Board of India (IBBI)? Regulate insolvency professionals Oversee insolvency agencies Maintain data on insolvency cases All of the above None 37. Appeals against the orders of NCLAT can be made to: High Court Supreme Court Ministry of Corporate Affairs IBBI None 38. The resolution process under IBC starts with: Filing of application Approval by CoC Appointment of IRP Public announcement of insolvency None 39. Under Section 12A, withdrawal of CIRP is allowed if approved by: NCLT 90% of the CoC 75% of the CoC IBBI None 40. What is the primary feature of the waterfall mechanism under IBC? Equal distribution of assets Priority-based distribution of proceeds Distribution based on equity shares Distribution based on government approval None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test. Look out for results and future opportunities. Stay Connected !! Your quiz time is about to finish. Few seconds left. Time's upYou cannot switch tabs while taking this quiz!You are not allowed to switch tabs violation has been recorded.you cannot minimize full screen mode!You are not allowed to minimize full screen while taking this quiz, violation has been recorded.Access denied! To begin the quiz, please grant this quiz access to your camera.Time is Up!Time is Up!
