(6) "dispute" includes a suit or arbitration proceedings relating
to-
(a) the existence of the amount of debt;
(b) the quality of goods or service; or
(c) the breach of a representation or warranty;
(7) "financial creditor" means any person to whom a financial debt is owed
and includes a person to whom such debt has been legally assigned or
transferred to;
(8) "financial debt" means a debt alongwith interest, if any, which is
disbursed against the consideration for the time value of money and
includes-
(a) money borrowed against the payment of interest;
(b) any amount raised by acceptance under any acceptance credit facility or
its de-materialised equivalent;
(c) any amount raised pursuant to any note purchase facility or the issue of
bonds, notes, debentures, loan stock or any similar instrument;
(d) the amount of any liability in respect of any lease or hire purchase
contract which is deemed as a finance or capital lease under the Indian
Accounting Standards or such other accounting standards as may be
prescribed;
(e) receivables sold or discounted other than any receivables sold on
nonrecourse basis;
(f) any amount raised under any other transaction, including any forward
sale or purchase agreement, having the commercial effect of a borrowing;
(g) any derivative transaction entered into in connection with protection
against or benefit from fluctuation in any rate or price and for calculating
the value of any derivative transaction, only the market value of such
transaction shall be taken into account;
(h) any counter-indemnity obligation in respect of a guarantee, indemnity,
bond, documentary letter of credit or any other instrument issued by a bank
or financial institution;
(i) the amount of any liability in respect of any of the guarantee or
indemnity for any of the items referred to in sub-clauses (a) to (h) of this
clause;
(9) "financial position", in relation to any person, means the financial
information of a person as on a certain date;
(10) "information memorandum" means a memorandum prepared by resolution
professional under sub-section (1) of section 29;
(11) "initiation date" means the date on which a financial creditor,
corporate applicant or operational creditor, as the case may be, makes an
application to the Adjudicating Authority for initiating corporate
insolvency resolution process;
(12) "insolvency commencement date" means the date of admission of an
application for initiating corporate insolvency resolution process by the
Adjudicating Authority under sections 7, 9 or section 10, as the case may
be;
(13) "insolvency resolution process costs" means-
(a) the amount of any interim finance and thecosts incurred in raising such
finance;
(b) the fees payable to any person acting as a resolution professional;
(c) any costs incurred by the resolution professional in running the
business of the corporate debtor as a going concern;
(d) any costs incurred at the expense of the Government to facilitate the
insolvency resolution process; and
(e) any other costs as may be specified by the Board;
(14) "insolvency resolution process period" means the period of one hundred
and eighty days beginning from the insolvency commencement date and ending
on one hundred and eightieth day;
(15) "interim finance" means any financial debt raised by the resolution
professional during the insolvency resolution process period;
(16) "liquidation cost" means any cost incurred by the liquidator during the
period of liquidation subject to such regulations, as may be specified by
the Board;
(17) "liquidation commencement date" means the date on which proceedings
for liquidation commence in accordance with section 33 or section 59, as the
case may be;
(18) "liquidator" means an insolvency professional appointed as a liquidator
in accordance with the provisions of Chapter III or Chapter V of this Part,
as the case may be;
(19) "officer" for the purposes of Chapter VII of this Part, means an
officer who is in default, as defined in clause (60) of section 2 of the
Companies Act, 2013 or a designated partner as defined in clause (j) of
section 2 of the Limited Liability Partnership Act, 2008, as the case may
be;
(20) "operational creditor" means a person to whom an operational debt is
owed and includes any person to whom such debt has been legally assigned or
transferred; (21) "operational debt" means a claim in respect of the
provision of goods or services including employment or a debt in respect of
the repayment of dues arising
under any law for the time being in force and payable to the Central
Government, any State Government or any local authority;
(22) "personal guarantor" means an individual who is the surety in a
contract of guarantee to a corporate debtor;
(23) "personnel" includes the directors, managers, key managerial personnel,
designated partners and employees, if any, of the corporate debtor;
(24) "related party", in relation to a corporate debtor, means-
(a) a director or partner of the corporate debtor or a relative of a
director or partner of the corporate debtor;
(b) a key managerial personnel of the corporate debtor or a relative of a
key managerial personnel of the corporate debtor;
(c) a limited liability partnership or a partnership firm in which a
director, partner, or manager of the corporate debtor or his relative is a
partner;
(d) a private company in which a director, partner or manager of the
corporate debtor is a director and holds along with his relatives, more than
two per cent. of its share capital;
(e) a public company in which a director, partner or manager of the
corporate debtor is a director and holds along with relatives, more than two
per cent. of its paid-up share capital;
(f) anybody corporate whose board of directors, managing director or
manager, in the ordinary course of business, acts on the advice, directions
or instructions of a director, partner or manager of the corporate debtor;
(g) any limited liability partnership or a partnership firm whose partners
or employees in the ordinary course of business, acts on the advice,
directions or instructions of a director, partner or manager of the
corporate debtor;
(h) any person on whose advice, directions or instructions, a director,
partner or manager of the corporate debtor is accustomed to act;
(i) a body corporate which is a holding, subsidiary or an associate company
of the corporate debtor, or a subsidiary of a holding company to which the
corporate debtor is a subsidiary;
(j) any person who controls more than twenty per cent. of voting rights in
the corporate debtor on account of ownership or a voting agreement;
(k) any person in whom the corporate debtor controls more than twenty per
cent. of voting rights on account of ownership or a voting agreement;
(l) any person who can control the composition of the board of directors or
corresponding governing body of the corporate debtor;
(m) any person who is associated with the corporate debtor on account of-
(i) participation in policy making processes of the corporate debtor; or
(ii) having more than two directors in common between the corporate debtor
and such person; or
(iii) interchange of managerial personnel between the corporate debtor and
such person; or
(iv) provision of essential technical information to, or from, the corporate
debtor;
(25) "resolution applicant" means any person who submits a resolution plan
to the resolution professional;
(26) "resolution plan" means a plan proposed by any person for insolvency
resolution of the corporate debtor as a going concern in accordance with
Part II;
(27) "resolution professional", for the purposes of this Part, means an
insolvency professional appointed to conduct the corporate insolvency
resolution process and includes an interim resolution professional; and
(28) "voting share" means the share of the voting rights of a single
financial creditor in the committee of creditors which is based on the
proportion of the financial debt owed to such financial creditor in relation
to the financial debt owed by the corporate debtor.