LawgistThe Insolvency and Bankruptcy Code
65Fraudulent or malicious initiation of proceedings
(1) If, any person initiates the insolvency resolution process or liquidation proceedings fraudulently or with malicious intent for any purpose other than for the resolution of insolvency, or liquidation, as the case may be, the Adjudicating Authority may impose upon such person a penalty which shall not be less than one lakh rupees, but may extend to one crore rupees.
(2) If, any person initiates voluntary liquidation proceedings with the intent to defraud any person, the Adjudicating Authority may impose upon such person a penalty which shall not be less than one lakh rupees but may extend to one crore rupees.
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CHAPTER VI ADJUDICATING AUTHORITY FOR CORPORATE PERSONS
- 60 Adjudicating Authority for corporate persons
- 61 Appeals and Appellate Authority
- 62 Appeal to Supreme Court
- 63 Civil court not to have jurisdiction
- 64 Expeditious disposal of applications
- 65 Fraudulent or malicious initiation of proceedings
- 66 Fraudulent trading or wrongful trading
- 67 Proceedings under section 66
