256. Appointment of interim administrator
(1) On the receipt of an application under section 254, the Tribunal shall, not later
than seven days from such receipt,—
(a) fix a date for hearing not later than ninety days from date of its receipt;
(b) appoint an interim administrator to convene a meeting of creditors of the
company in accordance with the provisions of section 257 to be held not later than
forty-five days from receipt of the order of the Tribunal appointing him to consider
whether on the basis of the particulars and documents furnished with the application
made under section 254, the draft scheme, if any, filed along with such application or
otherwise and any other material available, it is possible to revive and rehabilitate the
sick company and such other matters, which the interim administrator may consider
necessary for the purpose and to submit his report to the Tribunal within sixty days
from the date of the order:
Provided that where no draft scheme is filed by the company and a declaration
has been made to that effect by the Board of Directors, the Tribunal may direct the
interim administrator to take over the management of the company; and
(c) issue such other directions to the interim administrator as the Tribunal may
consider necessary to protect and preserve the assets of the sick company and for its
proper management.
(2) Where an interim administrator has been directed to take over the management of
the company, the directors and the management of the company shall extend all possible
assistance and cooperation to the interim administrator to manage the affairs of the company.