Moratorium and resolution plan breach attract penalties for corporate debtors, officers, creditors, and bound persons. Penalties are prescribed for contravention of the moratorium under section 14 and for breach of an approved resolution plan. The Adjudicating Authority may, on application by the Board, the Central Government, or an authorised person, impose penalty on a corporate debtor, its officer, a creditor, or any person who committed, authorised, permitted, or abetted the contravention. The provision sets minimum and maximum penalty limits and applies separate consequences for moratorium breaches and resolution plan non-compliance.
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Provisions expressly mentioned in the judgment/order text.
Moratorium and resolution plan breach attract penalties for corporate debtors, officers, creditors, and bound persons.
Penalties are prescribed for contravention of the moratorium under section 14 and for breach of an approved resolution plan. The Adjudicating Authority may, on application by the Board, the Central Government, or an authorised person, impose penalty on a corporate debtor, its officer, a creditor, or any person who committed, authorised, permitted, or abetted the contravention. The provision sets minimum and maximum penalty limits and applies separate consequences for moratorium breaches and resolution plan non-compliance.
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