INSOLVENCY AND BANKRUPTCY OF AN INDIVIDUAL UNDER THE IBC, CODE, 2016
As per section 101 of the code, When an application under section 94 of the IBC code is admitted by the adjudicating authority under section 100 of the code, the moratorium commences and will cease to exist at the end of 180 days from the date of admission or on the date of the repayment plan is approved by the adjudicating authority under section 114 of the code. MORATORIUM . Moratorium under section 101(2)(a) envisages that “any pending legal action or proceeding with respect to any debt shall be deemed to have been stayed. (b) the creditors shall not initiate any legal action or legal proceedings in respect of any debt; and (c) the debtor shall not transfer, alienate, encumber or dispose of any of his assets or his legal rights or beneficial interest therein;” When the Repayment plan is approved by the Adjudicating Authority under section 114 of the code on the basis of the report of the CoC, after successful implementation of the same, an application under section 119 of...