5. With reference to the Insolvency and Bankruptcy Code (IBC), consider the following
statements.
1. Insolvency is a situation where individuals or companies are unable to repay their
outstanding debt.
2. The minimum amount of default after which the creditor or debtor could apply for
insolvency is ₹1 lakh.
3. The Debt Recovery Tribunal adjudicates insolvency resolutions for individuals and
partnership firms.
4. Amendments to IBC mandate a deadline for the completion of the resolution process within
330 days.

Answer: C
Explanation

● The International Labour Organisation was created in 1919, as part of the Treaty of
Versailles that ended World War I.
● In 1944, ILO adopted the Declaration of Philadelphia which embodies basic principles of
economic justice.
● Statement 3 is correct:It became the first specialized agency of the UN in 1946.
● Statement 2 is correct: ILO is the only tripartite U.N. agency which brings together
governments, employers and workers of 187 member States, to set labor standards,
develop policies and devise programmes promoting decent work for all women and men.
● Statement 1 is correct: India is a founder member of the ILO.
● It is headquartered in Geneva, Switzerland.

Answer: C
Explanation:
● Statement 1 is correct: Insolvency is a situation where individuals or companies are
unable to repay their outstanding debt.
● The Insolvency and Bankruptcy Code (IBC) provides a time-bound process for resolving the
insolvency of corporate debtors called the corporate insolvency resolution process
(CIRP).
● Statement 2 is incorrect: Earlier, the minimum amount of default after which the
creditor or debtor could apply for insolvency was ₹1 lakh, but considering the stress on
companies amid the covid pandemic, the government increased the minimum amount to ₹1
crore.
● Under CIRP, a committee of creditors is constituted to decide on the insolvency resolution.
The committee may consider a resolution plan which typically provides for the payoff of
debt by merger, acquisition, or restructuring of the company.
● If a resolution plan is not approved by the committee of creditors within the specified time,
the company is liquidated (the assets of the borrower will be sold to repay creditors).
● During CIRP, the affairs of the company are managed by the Resolution Professional (RP),
who is appointed to conduct CIRP.
● Statement 3 is correct: The National Company Law Tribunal (NCLT) adjudicates
insolvency resolutions for companies and Limited Liability Partnerships.  The Debt
Recovery Tribunal (DRT) adjudicates insolvency resolution for individuals and
partnership firms.
● The Insolvency and Bankruptcy Board of India (IBBI) regulates the functioning of IPs,
IPAs and IUs.

● Statement 4 is correct: The code was amended in 2019 which mandated a deadline for the
completion of the resolution process within 330 days, including all litigation and
judicial processes. 
Insolvency and Bankruptcy Code (Amendment) Act, 2021
● In 2021, the Parliament passed the Insolvency and Bankruptcy Code (Amendment) Act,
2021 to expedite and provide an efficient alternate insolvency resolution process for
corporate persons classified as micro, small and medium enterprises (MSMEs) under
IBC.
Highlights of the Act
Pre-packaged insolvency resolution
● The Act introduces an alternate insolvency resolution process for MSMEs, called the
pre-packaged insolvency resolution process (PIRP).
● Unlike CIRP, PIRP may be initiated only by debtors. The debtor should have a base
resolution plan in place.
● During PIRP, the management of the company will remain with the debtor.
Minimum default amount
● Application for initiating PIRP may be filed in the event of a default of at least one lakh
rupees.
Debtors eligible for PIRP
● PIRP may be initiated in the event of a default by a corporate debtor classified as an MSME
under the MSME Development Act, 2006.
○ Currently, under the 2006 Act, an enterprise with an annual turnover of up to Rs 250 crore, and investment in plant and machinery or equipment up to Rs 50 crore, is classified as an MSME.

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1. Consider the following statements about Eco-sensitive zones
1) These are fragile areas falling within 10 km of the boundaries of national parks and wildlife sanctuaries.
2) They are protected under the Environment Protection Act,1986.
3) Agriculture is the only activity permitted in an Eco-sensitive zone.

Answer: B
Soln:
● Eco-sensitive zones are areas notified by the MoEF around protected areas, National
Parks and wildlife sanctuaries.
● The National Wildlife Action Plan (2002–2016) of MoEFCC stipulated that state
governments should declare land falling within 10 km of the boundaries of national parks
and wildlife sanctuaries as eco-fragile zones or ESZs under the Environmental
(Protection) Act, 1986. Hence statements 1 and 2 are correct.
● The purpose of the ESZ was to provide more protection to the parks by acting as a shock
absorber or transition zone.
● Eco-Sensitive Zones would minimize forest depletion and man-animal conflict.
● The basic aim is to regulate certain activities around National Parks and Wildlife
Sanctuaries so as to minimize the negative impacts of such activities on the fragile
ecosystem encompassing the protected areas.
● Activities prohibited in ESZ
○ Commercial mining, saw mills, industries causing pollution (air, water, soil, noise
etc), establishment of major hydroelectric projects (HEP), commercial use of wood.
○ Tourism activities like hot-air balloons over the National Park, discharge of effluents
or any solid waste or production of hazardous substances.

● Regulated Activities:
○ Felling of trees, establishment of hotels and resorts, commercial use of natural
water, erection of electrical cables, drastic change of agriculture system, e.g.,
adoption of heavy technology, pesticides etc, widening of roads.

● Permitted Activities:
○ Ongoing agricultural or horticultural practices, rainwater harvesting, organic
farming, use of renewable energy sources, adoption of green technology for all
activities. Hence statement 3 is incorrect.

2. Consider the following indices:
1. SDG India Index 
2. Composite Water Management Index 
3. Export Preparedness Index
4. India Innovation Index

Answer: D
Explanation:
About NITI Aayog
● The National Institution for Transforming India, also called NITI Aayog, was
formed via a resolution of the Union Cabinet on January 1, 2015. 
● It replaced the erstwhile Planning Commission.
● NITI Aayog is the premier policy ‘Think Tank’ of the Government of India,
providing both directional and policy inputs. 
● While designing strategic and long term policies and programmes for the Government
of India, NITI Aayog also provides relevant technical advice to the Centre and
States.
● NITI Aayog’s entire gamut of activities can be divided into four main heads:
▪️ Policy and Programme Framework
▪️ Cooperative Federalism
▪️ Monitoring and Evaluation
▪️ Think Tank, and Knowledge and Innovation Hub.

Governing Council of NITI Aayog 
● The Governing Council of NITI Aayog is chaired by the Prime Minister and
comprises Chief Ministers of all the States and Union Territories with legislatures; Lt
Governors of other Union Territories; Ex-Officio Members; Vice Chairperson; Full-time
Members; Special Invitees and Chief Executive Officer.
● The Governing Council, which embodies the objectives of cooperative federalism,
presents a platform to discuss inter-sectoral, inter-departmental and federal
issues to accelerate the implementation of the national development agenda.

Important reports released by NITI Aayog
● Healthy States, Progressive India Report 
● Composite Water Management Index 
● SDG India Index 
● North-Eastern Region District SDG Index
● Multidimensional Poverty Index
● Export Preparedness Index
● India Innovation Index

3. Consider the following statements about Bengal Tigers in India.
1. India hosts more than half of the world’s wild tiger population.
2. It has been classified as vulnerable by IUCN.
3. Biligiri Rangaswamy Temple Tiger Reserve (BRT) is the only tiger habitat in the world to
have melanistic tigers.

Answer: A
Soln:
Bengal Tigers:
● The Bengal tiger (Panthera tigris tigris) is a subspecies of tiger native to the Indian
subcontinent.
● It inhabits hot and humid forests, and wetlands of India, Bangladesh, Bhutan, and Nepal.
● India hosts over 70% of the world’s wild tiger population, with an estimated count
exceeding 3,600, the majority of which are found in Madhya Pradesh. Hence, statement 1
is correct.
● The Bengal tiger’s coat is yellow to light orange, with black stripes unique to each tiger.
● They are solitary hunters. Males are larger in size than females.
● They are carnivorous in their diet, preying on ungulates such as deer and antelope, gaurs,
and wild boars.
● Conservation Status:
○ IUCN Red List: Endangered; CITES: Appendix I; Wildlife Protection Act (2022):
Schedule I. Hence, statement 2 is incorrect.

● The National Tiger Conservation Authority (NTCA) has approved the world’s first
melanistic tiger safari near Similipal tiger reserve of Odisha.
● Simlipal tiger reserve is the only tiger habitat in the world to have melanistic tigers.
Hence, statement 3 is incorrect.
Melanism in Royal Bengal tigers
● Melanism is a genetic condition that causes animals to have black or nearly black skin,
hair, or feathers due to increased melanin production.
● In Bengal tigers, the presence of higher levels of melanin, gives tigers black and yellow
interspersed stripes on their coats which are much thicker than the stripes found in
normal tigers.

● Since these tigers are not entirely black, they are often described as being pseudo-
melanistic (false coloured).
● Factors such as geographical isolation have led to constant inbreeding amongst
genetically related tigers for over generations leading to such melanistic tendencies.
● Constant inbreeding amongst species leads to poorer reproductive efficiency, lower
growth rates, and higher mortality rates thereby threatening the survival of species.

4. Consider the following statements about NISAR
1) It is an Earth-observation satellite developed by the European Space Agency (ESA).
2) The primary objective of the mission is to study the composition of Mars' atmosphere.