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

The bankruptcy trustee of Ms. Meera Iyer's estate placed his administration report before the committee of creditors on 3 March. Within how many days of receipt of the report must the committee approve it under Section 137?

The committee of creditors must approve the bankruptcy trustee's administration report within seven days of receiving it, and at the same time decide whether the trustee should be released. The Code fixes seven days, not fourteen or thirty.

  1. ASeven daysCorrect
  2. BFourteen days
  3. CThirty days
  4. DWithin the same meeting only, with no further time

Explanation

Section 137(3) says the committee of creditors shall approve the report within seven days of receiving it and determine whether the trustee should be released. Fourteen or thirty days are not provided in this section.

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