A company ABC Ltd. is undergoing a prepackaged insolvency resolution process under IBC, 2016. The company has appointed an Interim Resolution Professional (IRP) to oversee the insolvency process. The management of Corpor

According to section 54H of the Code, during the pre-packaged insolvency resolution process period, - (a) The management of the affairs of the body corporate shall continue to vest in the Board of Directors or the partners, as the case may be, of the corporate debtor, subject to such conditions as may be prescribed. (b) The Board of Directors, as the case may be, of the corporate debtor, shall make every endeavour to protect and preserve the value of property of the corporate debtor, and manage its operations as a going concern and (c) the promoters, members, personnel and partners as the case may be, of the corporate debtor shall exercise and discharge their contractual or statutory rights and obligations in relation to the corporate debtor, subject to the provisions of this chapter and such other conditions and restrictions as may be prescribed. Vesting management of corporate debtor with resolution professional (Section 54J of IBC, 2016) Section 54J (1) provides that where the committee of creditors, at any time during the pre-packaged insolvency resolution process period, by a vote of not less than sixty-six per cent of the voting shares, resolves to vest the management of the corporate debtor with the resolution professional, the resolution professional shall make an application for this purpose to the Adjudicating Authority, in such form and manner as may be specified. Section 54J (2) of the Code provides that on an application made under sub-section(1), if the Adjudicating Authority is of the opinion that during the pre-packaged insolvency resolution process (a) the affairs of the corporate debtor have been conducted in a fraudulent manner; or (b) there has been gross mismanagement of the affairs of the corporate debtor, it shall pass an order vesting the management of the corporate debtor with the resolution professional. Section 54J (3) provides that notwithstanding anything to the contrary contained in this chapter, the provisions of: (a) sub-sections (2) and (2A) of section 14 (moratorium) (b) section 17 (Management of affairs of corporate debtor by IRP) (c) clauses (e) to (g) of section 18 (Duties of IRP) (d) sections 19 and 20 (Personnel to extend co-operation to IRP and management of operations of corporate debtor as going concern) (e) sub-section (1) of section 25 (Duty of RP to preserve clauses (a) to (c) and clause (k) of sub-section (2) of section 25 (duties of RP) and section 28 (Approval of COC for certain actions) shall, mutatis mutandis applies, to the proceedings under this chapter, from the date of the order under sub-section (2), until the pre-packaged insolvency resolution process period comes to an end.