Giving Due Course to or Dismissal of Petition, or Conversion of Proceedings.
Section 25
SEC. 25. Giving Due Course to or Dismissal of Petition, or Conversion of Proceedings. — Within ten (10) days from receipt of the report of the rehabilitation receiver mentioned in Section 24 hereof the court may: give due course to the petition upon a finding that: the debtor is insolvent; and there is a substantial likelihood for the debtor to be successfully rehabilitated; dismiss the petition upon a finding that: debtor is not insolvent; the petition i8 a sham filing intended only to delay the enforcement of the rights of the creditor/s or of any group of creditors; the petition, the Rehabilitation Plan and the attachments thereto contain any materially false or misleading statements; or the debtor has committed acts of misrepresentation or in fraud of its creditor/s or a group of creditors; convert the proceedings into one for the liquidation of the debtor upon a finding that: the debtor is insolvent; and there is no substantial likelihood for the debtor to be successfully rehabilitated as determined in accordance with the rules to be promulgated by the Supreme Court.