Question

Who is corporate debtor as per section 3(8) of the Insolvency and Bankruptcy Code, 2016?

• A. A corporate person who owes a debt to any person
• B. A corporate person who owes a debt to a corporate person
• C. Any person who owes a debt to a corporate person
• D. Any person who owes a debt to any person

Hint:

To define "Corporate Debtor," just combine the words: it is a "Corporate" entity that is a "Debtor" (owes money).

Answer 1

The Correct Option is A

The Insolvency and Bankruptcy Code, 2016, provides precise definitions for key terms.
Section 3(8) of the IBC defines a "corporate debtor" as "a corporate person who owes a debt to any person.
" Let's break this down:
Corporate Person: It must be a company or LLP.

Debtor: It must be the one who \textit{owes} the money.

to any person: The creditor can be anyone (an individual, another company, a bank, etc.
).
Option (A) perfectly matches this legal definition.