Question

Which section of the Insolvency and Bankruptcy Code, 2016 is not related to extortionate credit transactions?

• A. Section 50
• B. Section 51
• C. Section 167
• D. Section 173

Hint:

Always remember: extortionate credit transactions are governed mainly by Sections 50 and 51 of the IBC.

Answer 1

The Correct Option is D

Step 1: Extortionate credit transactions.
Sections 50 and 51 of the Insolvency and Bankruptcy Code, 2016 specifically deal with extortionate credit transactions in corporate and individual insolvency processes.
Step 2: Other related provisions.
Section 167 appears in the context of avoidance transactions in individual insolvency.
Step 3: Identification of unrelated provision.
Section 173 does not deal with extortionate credit transactions and relates to a different procedural aspect of insolvency law.
Step 4: Conclusion.
Therefore, the correct answer is (D) Section 173.