1 and 2
1, 2 and 4
1, 2, 3 and 4
2, 3 and 4
Answer is Wrong!
Answer is Right!
The correct
answer is: C. 1, 2, 3 and 4The Insolvency and Bankruptcy Code, 2016 (IBC) has brought about significant changes in the process of voluntary winding up of solvent companies. The key changes are as follows:
- Shifting of Powers from Official Liquidator to Insolvency Professional. Under the Companies Act, 2013, the Official Liquidator was responsible for carrying out the process of voluntary winding up. However, under the IBC, this responsibility has been transferred to an Insolvency Professional.
- Jurisdictional Authority has been shifted from High Court to National Company Law Tribunal. Under the Companies Act, 2013, the High Court was the jurisdictional authority for hearing winding up petitions. However, under the IBC, this authority has been transferred to the National Company Law Tribunal (NCLT).
- Governing sections, rules and regulations for Voluntary Winding has now shifted to Section 59 of the Insolvency and Bankruptcy Code, 2016. Under the Companies Act, 2013, the provisions relating to voluntary winding up were contained in Chapter XX of the Act. However, under the IBC, these provisions have been shifted to Section 59 of the Code.
- Timeline for carrying out the Voluntary Winding up process under the IBC is normally of 12 months. Under the Companies Act, 2013, there was no specific timeline for carrying out the process of voluntary winding up. However, under the IBC, the timeline for carrying out the process is normally of 12 months.
The IBC has also introduced a number of other changes in the process of voluntary winding up. These changes are aimed at making the process more efficient and effective.