(1) The Adjudicating Authority may, on an application or suo motu, modify orrecall a bankruptcy order, whether or not the bankrupt is discharged, if it appears to the Adjudicating Authority that-
(a) there exists an error apparent on the face of such order; or
(b) both the bankruptcy debts and the expenses of the bankruptcy have, after the making of the bankruptcy order, either been paid for or secured to the satisfaction of the Adjudicating Authority.
(2) Where the Adjudicating Authority modifies or recalls the bankruptcy order under this section, any sale or other disposition of property, payment made or other things duly done by the bankruptcy trustee shall be valid except that the property of the bankrupt shall vest in such person as the Adjudicating Authority may appoint or, in default of any such appointment, revert to the bankrupt on such terms as the Adjudicating Authority may direct.
(3) A copy of the order passed by the Adjudicating Authority under sub-section (1) shall be provided to the Board, for the purpose of recording an entry in the register referred to in section 191.
(4) The modification or recall of the order by the Adjudicating Authority under sub-section (1) shall be binding on all creditors so far as it relates to any debts due to them which form a part of the bankruptcy.
Insolvency and Bankruptcy Code 2016
Section 141 Restrictions on bankrupt
Section 142 Modification or recall of bankruptcy order
Section 143 Standard of conduct
Section 144 Fees of bankruptcy trustee
Section 145 Replacement of bankruptcy trustee
Section 146 Resignation by bankruptcy trustee
Section 147 Vacancy in office of bankruptcy trustee
Section 148 Release of bankruptcy trustee
CHAPTER V ADMINISTRATION AND DISTRIBUTION OF THE ESTATE OF THE BANKRUPT
Section 149 Functions of bankruptcy trustee