Skip to content

CS Professional · Corporate Restructuring, Valuation and Insolvency · Convening and Conduct of Meetings of Committee of Creditors

A bankruptcy trustee submits his report of administration to the committee of creditors in a meeting held on 3 March. The committee wants to approve it. Within what period from receipt of the report must the committee approve it under Section 137?

The committee of creditors must approve the trustee's report of administration within seven days of receiving it, and it also decides whether the trustee should be released. The one-year period belongs to the discharge application, not to this approval.

  1. ASeven daysCorrect
  2. BFourteen days
  3. CThirty days
  4. DWithin one year of bankruptcy commencement

Explanation

Section 137(3) requires the committee of creditors to approve the report within seven days of receiving it. Fourteen and thirty days are not in the provision. The one-year period relates to the trustee's discharge application under Section 138, not to approval of the report.

Did you get it right without looking?

One question tells you little. A timed set on Convening and Conduct of Meetings of Committee of Creditors shows your real accuracy, how long you take and where you lose marks.

Practise Convening and Conduct of Meetings of Committee of CreditorsFree diagnostic mock

More Convening and Conduct of Meetings of Committee of Creditors questions