Question

Under Section 59 of IBC relating to voluntary liquidation of corporate persons, which of the following conditions must be met for a corporate person to initiate voluntary liquidation proceedings?

A The corporate person must be in default. Correct Answer Incorrect Answer
B The corporate person must have committed a default Correct Answer Incorrect Answer
C The corporate person must not have committed any default Correct Answer Incorrect Answer
D The corporate person must be facing insolvency. Correct Answer Incorrect Answer
E The corporate person must have a history of defaults. Correct Answer Incorrect Answer

Solution

Section 59-Voluntary liquidation of corporate persons: (1) A corporate person who intends to liquidate itself voluntarily and has not committed any default may initiate voluntary liquidation proceedings under the provisions of this Chapter.

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