Admission or Rejection of claim [ Section 40 , 41 & 42 ] - Insolvency Resolution And Liquidation For Corporate Persons - IBC

Admission or Rejection of claim Admission / rejection of claims [ Section 40(1) ] The liquidator may, after verification of claims under section 39 , either admit or reject the claim, in whole or in part. Provided that where the liquidator rejects a claim, he shall record in writing the reasons for such rejection. Communication of decision of admission / rejection [ Section 40(2) ] The liquidator shall communicate his decision of admission or rejection of claims to the creditor and corporate debtor within 7 days of such admission or rejection of claims Determination of valuation of claims [ Section 41 ] The liquidator shall determine the value of claims admitted in such manner as may be specified by the Board. Appeal against the decision of liquidator [ Section 42 ] A creditor may appeal to the Adjudicating Authority against the decision of the liquidator accepting or rejecting the claims within 14 days of the receipt of such decision.