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CMA Final · Corporate and Economic Laws · Insolvency and Bankruptcy Code, 2016

Sections 55 to 58 of the Code, dealing with fast track corporate insolvency resolution, were brought into force on 14 June 2017. Which statement about the Code's phased commencement is consistent with the notifications?

Sections 33 to 54 came into force on 15 December 2016, which is earlier than sections 55 to 58 on 14 June 2017. Other options reverse or misstate dates, since sections 59 and 209 to 215 began on 1 April 2017 and sections 227 to 229 on 1 May 2018.

  1. ASections 33 to 54 were brought into force on 15 December 2016, earlier than sections 55 to 58Correct
  2. BSections 33 to 54 were brought into force on 1 May 2018, later than sections 55 to 58
  3. CSections 59 and 209 to 215 were brought into force on 5 August 2016, before sections 55 to 58
  4. DSections 227 to 229 were brought into force on 1 December 2016, before sections 33 to 54

Explanation

The commencement notes show sections 33 to 54 effective 15 December 2016 and sections 55 to 58 effective 14 June 2017, so the first option is right. Sections 227 to 229 came on 1 May 2018, and section 59 with sections 209 to 215 came on 1 April 2017, so the other options are wrong.

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