Anuja Tools Pvt. Ltd., a registered MSME, is facing severe cash flow issues and wants to initiate a Pre-Packaged Insolvency (PPIRP), a cost-effective and speedy resolution process. They engage Mr. Yugam Sharma, a registe

Duties of Resolution Professional before initiation of pre-packaged insolvency resolution process (Section 54B): As per Section 54B (1) of the Insolvency and Bankruptcy Code, 2016, the insolvency professional, proposed to be appointed as the resolution professional, shall have the following duties commencing from the date of the approval under clause (e) of sub-section (2) of section 54A, namely: - prepare a report in such form as may be specified, confirming whether the corporate debtor meets the requirements of section 54A, and the base resolution plan conforms to the requirements referred to in clause (c) of sub-section (4) of section 54A; file such reports and other documents, with the Board, as may be specified; and perform such other duties as may be specified. When will the duties of insolvency professional under Section 54B (1) of the Code cease? Section 54B (2) of the Insolvency and Bankruptcy Code, 2016 provides the following circumstances: If the corporate debtor fails to file an application for initiating prepackaged insolvency resolution process within the time period as stated under the declaration referred to in clause (f) of subsection (2) of section 54A; or The application for initiating prepackaged insolvency resolution process is admitted or rejected by the Adjudicating Authority, as the case may be. Therefore, Mr. Yugam Sharma's duties under Section 54B(1) will cease if Anuja Tools Pvt. Ltd. fails to file the application within the specified time, or if the NCLT admits or rejects the application for PPIRP.