LL.B. (Three Years) Sem 4 Bankruptcy Laws Dec 2012 Question Paper - Mumbai University | munotes

Questions asked in this paper

Q.1 Q.1: Write short answers in not more than two sentences (20 Marks - 2 marks each)

1. (a) What is the meaning of the expression "Act of Insolvency"?
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2. (b) When the ordinary civil court can order stay of suit pending before it against a debtor?
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3. (c) On making of an order of adjudication of debtor as insolvent, what further orders are required to be passed by the court against such a debtor under The Provincial Insolvency Act, 1920?
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4. (d) What is the distinction between the provisions of Provincial Insolvency Act, 1920 and the Presidency Towns Insolvency Act, 1909 in respect of vesting of after-acquired property of the insolvent?
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5. (e) Define the expression "Transfer of Property" under the Provincial Insolvency Act, 1920.
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6. (f) What are the circumstances under which the court exercising insolvency jurisdiction can issue warrant of arrest against the insolvent debtor?
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7. (g) Is it the duty of the insolvent to handover to the Receiver the property belonging to him in trust for others? Why?
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8. (h) If the debtor dies during pendency of insolvency petition against him, can he be adjudicated as insolvent after his death? Why?
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9. (i) What is the remedy available to the person who is aggrieved by the act or decision of the receiver?
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10. (j) Is the goodwill of the business of debtor considered as his property under the Bankruptcy Act in England? What is the position in this respect under the Provincial Insolvency Act, 1920.
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Q.2 Q.2: Write short notes on any four of the following (20 Marks - 5 marks each)

1. (a) Concept of inability to pay debt
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2. (b) Duties of debtors
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3. (c) Interior Receiver
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4. (d) Indigent person
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5. (e) Protected transactions
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6. (f) Schedule of Creditors
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Q.3 Q.3: Solve any two of the following problems (12 Marks - 6 marks each)

1. (a) Under the instructions given by a debtor, the servent of the debtor gave a false reply to the creditors whose debt had become due for payment that the creditor is not at home. (i) The debtor has committed which act of insolvency prescribed under law? (ii) Can any Creditor of the debtor other than the one to whome false answer was given by the servent of the debtor file insolvency petition against the debtor? Why?
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2. (b) M/s. Kalpani Brothers, a partnership firm, consisting of four partners, one of whom was minor, is facing insolvency proceedings. (i) Who are the partners against whom the order of adjudication will operate if passed against the firm? (ii) What will be the effect of such order on the property and profits of the firm including the minor's share therein?
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3. (c) On an insolvency petition presented against the debtor the court makes an order for summary administration of the estate of the debtor. (i) When the court can make an order for summary administration of the estate of the debtor? (ii) How the provisions of the Provincial Insolvency Act, 1920 stand modified in case of summary administration?
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Q.4 Q.4: Write answers in detail to any four of the following (48 Marks - 12 marks each)

1. (a) State and explain the principles common to all acts of insolvency.
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2. (b) Which Courts exercise insolvency jurisdiction under the Provincial Insolvency Act, 1920? State and explain the powers of the Court.
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3. (c) State the circumstances under which the order of adjudication can be annulled by the Court.
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4. (d) State the provisions relating to distribution of property of the insolvent and calculation of dividends.
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5. (e) What are the divisible and non-divisible properties of the insolvent?
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6. (f) What are the effects of insolvency on antecedent transactions under the Provincial Insolvency Act, 1920?
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