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B is corrent. The debtor may regain possession of property in the possession of an interim trustee if the debtor files the bond requested by the court.
A is incorrect. After an order of relief is granted, the court appoints an interim trustee. A trustee may be elected by creditors at the first creditors’ meeting but failure to elect a trustee results in the interim trustee continuing in office. The creditors are not required to elect a trustee in order for the bankruptcy proceeding to be completed.
C is incorrect. The Bankruptcy Code does not require that petitioners file a bond to indemnify the debtors for any loss caused by the filing of the petition. However, the court may require the petitioners to file such a bond to deter the filing of frivolous petitions.
D is incorrect. Involuntary bankruptcy proceedings cannot be commenced against all debtors. Farmers, charitable organizations, railroads, banks, and insurance companies are examples of debtors that are exempt from involuntary bankruptcy proceedings even if they are insolvent.