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    Question

    As per the Insolvency and Bankruptcy Code, 2016, the

    Adjudicating Authority shall, within how many days of the receipt of the application, admit or reject the application related to the insolvency process?
    A 7 days Correct Answer Incorrect Answer
    B 10 days Correct Answer Incorrect Answer
    C 14 days Correct Answer Incorrect Answer
    D 21 days Correct Answer Incorrect Answer
    E 30 days Correct Answer Incorrect Answer

    Solution

    Section 9-Application for initiation of corporate insolvency resolution process by operational creditor: (5) The Adjudicating Authority shall, within fourteen days of the receipt of the application under sub-section (2), by an order—(i) admit the application and communicate such decision to the operational creditor and the corporate debtor if,—(a) the application made under sub-section (2) is complete;(b) there is nopayment of the unpaid operational debt;(c) the invoice or notice for payment to the corporate debtor has been delivered by the operational creditor;(d) no notice of dispute has been received by the operational creditor or there is no record of dispute in the information utility; and(e) there is no disciplinary proceeding pending against any resolution professional proposed under sub-section (4), if any.(ii) reject the application and communicate such decision to the operational creditor and the corporate debtor, if—(a) the application made under sub-section (2) is incomplete;(b) there has beenpayment of the unpaid operational debt;(c) the creditor has not delivered the invoice or notice for payment to the corporate debtor;(d) notice of dispute has been received by the operational creditor or there is a record of dispute in the information utility; or (e) any disciplinary proceeding is pending against any proposed resolution professional:Provided that Adjudicating Authority, shall before rejecting an application under subclause (a) of clause (ii) give a notice to the applicant to rectify the defect in his application within seven days of the date of receipt of such notice from the adjudicating Authority.

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