Skip to content

CS Professional · Insolvency and Bankruptcy - Law and Practice · Professional and Ethical Practices for Insolvency Practitioners

Vikram, an insolvency professional, is being reviewed after complaints. The Board wants to examine his books and documents and summon him to be examined on oath. Under the Code, what power does the Board have?

The Board has civil court powers under the Code of Civil Procedure, 1908 while exercising powers under the Code. Section 196(3) covers discovery and production of books, summoning persons and examining them on oath, inspection of documents and issuing commissions. It needs no agency consent and is not confined to written information.

  1. ANo power, since only the Adjudicating Authority can summon persons
  2. BPowers of a civil court under the Code of Civil Procedure, 1908 while trying a suit, including summoning persons and examining them on oath and discovery of books of accountCorrect
  3. CPower to summon only if the insolvency professional agency consents
  4. DPower limited to calling for written information with no examination on oath

Explanation

Section 196(3) gives the Board the same powers as a civil court under the Code of Civil Procedure, 1908 in matters including discovery and production of books of account, summoning and enforcing attendance and examining on oath, inspection of documents, and issuing commissions. No agency consent is required.

Did you get it right without looking?

One question tells you little. A timed set on Professional and Ethical Practices for Insolvency Practitioners shows your real accuracy, how long you take and where you lose marks.

Practise Professional and Ethical Practices for Insolvency PractitionersFree diagnostic mock

More Professional and Ethical Practices for Insolvency Practitioners questions