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CS Professional · Insolvency and Bankruptcy - Law and Practice · Bankruptcy for Individuals and Partnership Firms

CS Neha Rao, an insolvency professional, is conducting an individual bankruptcy process. The insolvency professional agency of which she is a member asks to inspect her records. Which statement is correct as per the code of conduct for insolvency professionals?

She must allow her insolvency professional agency to inspect her records. She must also submit a copy of the records of every proceeding before the Adjudicating Authority to both the Board and the agency. These are part of the code of conduct in section 208(2).

  1. AShe may refuse, since only the Adjudicating Authority can inspect her records
  2. BShe must allow the agency to inspect her records, and also submit a copy of records of every proceeding before the Adjudicating Authority to the Board and the agencyCorrect
  3. CShe need submit records to the Board only, not to the agency
  4. DShe must submit records only if the Debt Recovery Tribunal specifically directs her to do so

Explanation

Section 208(2) requires every insolvency professional to allow the agency to inspect records and to submit a copy of records of every proceeding before the Adjudicating Authority to both the Board and the agency of which she is a member. Options C and D omit one of these duties.

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