SESSION 7 Corporate Insolvency Framework. Effective and Efficient

Save this PDF as:
 WORD  PNG  TXT  JPG

Size: px
Start display at page:

Download "SESSION 7 Corporate Insolvency Framework. Effective and Efficient"

Transcription

1 Changes in insolvency law Introduction of corporate rescue mechanisms: Judicial management Corporate voluntary arrangements Overall winding up process enhancement Qualification of insolvency practitioners 1

2 EXISTING NEW None Corporate Rescue Mechanisms Introduction of Corporate Voluntary Arrangement and Judicial Management. However a company which is: i. a licensed institution or operator of a designated payment system ii. regulated by the Central Bank; or an intermediary and financial markets institution regulated under the Capital Market Services Act 2007 are excluded from the application of provisions relating to corporate voluntary arrangement and judicial management RATIONALE To assist companies in financial trouble to be rehabilitated. This will provide framework for rehabilitation rather than taking the last resort of winding up the company. 2

3 None SESSION 7 Characteristics of Corporate Voluntary Arrangement: CVA applies only to private companies A CVA is when a company enters into a binding compromise or arrangement with its creditors without Court s approval The moratorium commences automatically from filing of relevant documents in the Court Period of moratorium is 28 days and it can be extended for a maximum period of 60 days only. 3

4 None SESSION 7 Characteristics of Corporate Voluntary Arrangement: Requisite majority is 75% of the total value of creditors who are present and voting. Approved scheme would be binding on all creditors and no modification will be allowed due to the short moratorium period. Results of the creditors meeting should be reported to Court for implementation of the proposal. the implementation of the plan will be supervised by Copyrights the Suruhanjaya Nominee Syarikat Malaysia 4

5 None Corporate Rescue Mechanisms Characteristics of Judicial Management. Judicial Management is a temporary Court supervised rescue plan which places the management of a company with a qualified insolvency practitioner known as a judicial manager (JM). The JM will draw a workable rescue plan to be implemented upon approval of creditors (75% of those present and voting) & sanction by Court A moratorium period of 180 days will be granted by Court upon order for judicial management to implement of the rescue plan 5

6 None Corporate Rescue Mechanisms Court may extend the moratorium period of 180 days up to a maximum of 360 days. Application for Judicial Management can be made by the company, its directors or creditors on grounds of inability to pay debts. Secured creditors have a right to oppose the application for Judicial Management however once approved in a creditors meeting, the plan will be binding on all creditors. A Judicial Management order can be discharged if purpose has been achieved OR if the JM is of the view the plan is unachievable 6

7 Commencement of winding up (for compulsory winding up) is at the point of filing of a petition Commencement of winding up is at the date of adjudication order by Court Shortening time taken to wind up a company 7

8 Qualification of Liquidator - Only company auditor may apply to be approved as a liquidator Qualification of Liquidator - Any person who is a member of a recognized professional body may apply to be approved as a liquidator. To de-link the requirement that an approved liquidator must be an approved auditor as currently stated in section 8(3) of the CA to allow persons other than auditors who have sufficient experience in insolvency work to apply to be approved Liquidator. 8

9 Inability to pay debts if the company is indebted in a sum exceeding RM500 Inability to pay debts if the company is indebted in a sum exceeding RM5,000 raising the present amount of RM500 to RM5,000 as the present amount is considered as too low as compared to other jurisdictions (in Singapore S$10,000 and Hong Kong, HK$10,000). The amount should not be too high that it precludes small creditors from initiating the claim, but should be high enough to remove likelihood of trivial claim 9

10 Any disposition of the property of the company made after the commenceme nt of the winding up by the Court must obtain approval from the Court. Introduction of exempt disposition, by liquidator/ interim liquidator pursuant to power under the Bill (Schedule 12 Part II) or Rules of Court. The inclusion of exempt disposition will lessen the burden of the liquidator from having to apply to the court to validate any disposition of the company s property. 10

11 None SESSION 7 Power of Court to terminate winding up On the application of the liquidator or of any creditor or contributory, the Court may make an order to terminate the winding up to provide certainty as to the status of the company, due to the absence of an express provision for termination of a winding up under the existing CA 1965, which only empowers the Court to stay a winding up order on the application of the liquidator or of any creditor or contributory of the company 11

12 Unsecured creditors to be paid in priority Wages or salary of any employee not exceeding RM1,500 Changes in the provision relating to unsecured creditors to be paid in priority Wages or salary of any employee not exceeding RM1,500 RM15,000 ; all amounts due in respect of contributions relating to employees social security contribution (SOCSO) and superannuation or provident fund (EPF) The quantum of wages and salary is increased from RM1,500 to RM15,000. To enhance the social obligation of a company towards the well being of its employees especially those in the lower income category who will be most affected when a company sinks into liquidation. Social security contribution The unpaid social security contribution owed by a company to its employees is given priority. 12

13 Undue preference transaction the existing s.293 is unclear with respect to what type of transactions are considered as undue preference unless crossreferencing is made to the Bankruptcy Act 1965 (BA) Undue preference transaction Any transaction in favour of any creditor shall be deemed to have given such creditor a preference over other creditors in the event of the company being wound up on a petition presented within six months from the date of making the transaction shall be deemed fraudulent and void. The current practice to make crossreferencing to the BA is abolished with the importation of section 53 of the BA where the time frame of 6 months is taken as the cut-off period to determine whether or not the transaction made become void as an undue preference 13

14 THANK YOU

Judicial Management, Scheme of Arrangement and Winding Up in Singapore. Copyright Colin Ng & Partners LLP 1

Judicial Management, Scheme of Arrangement and Winding Up in Singapore. Copyright Colin Ng & Partners LLP 1 Judicial Management, Scheme of Arrangement and Winding Up in Singapore Copyright Colin Ng & Partners LLP 1 Introduction Economic crisis many companies hit by cash flow problems and financial difficulties.

More information

Reforming the Corporate Insolvency Regime By the Secretariat to the Corporate Law Reform Committee (CLRC) Companies Commission of Malaysia

Reforming the Corporate Insolvency Regime By the Secretariat to the Corporate Law Reform Committee (CLRC) Companies Commission of Malaysia Reforming the Corporate Insolvency Regime By the Secretariat to the Corporate Law Reform Committee (CLRC) Companies Commission of Malaysia Introduction In our first article An insight to Corporate Law

More information

GUIDE TO INSOLVENCY IN THE CAYMAN ISLANDS

GUIDE TO INSOLVENCY IN THE CAYMAN ISLANDS GUIDE TO INSOLVENCY IN THE CAYMAN ISLANDS CONTENTS PREFACE 1 1. Introduction 2 2. When is a Company Insolvent under Cayman Islands Law? 2 3. Formal Insolvency Procedures 2 4. Creditors Rights 4 5. Voidable

More information

Comparing the corporate insolvency framework: UK, Singapore and India

Comparing the corporate insolvency framework: UK, Singapore and India Comparing the corporate insolvency framework: UK, Singapore and India Anjali Sharma, Rajeswari Sengupta May 15, 2015 Part I What drives optimal insolvency law design What is optimal design? Insolvency

More information

Insolvency and enforcement procedures in England & Wales

Insolvency and enforcement procedures in England & Wales Insolvency and enforcement procedures in England & Wales Contents Introduction...01 Company Voluntary Arrangement (CVA)...02 Scheme of Arrangement (Scheme)...05 Administration / Pre-pack Administration...08

More information

LAWCASTLES TECHNICAL PAPERS

LAWCASTLES TECHNICAL PAPERS LAWCASTLES TECHNICAL PAPERS PAPER NO. 1 OF 2006 Statutory Corporate Insolvency Procedures in Tanzania Introduction This paper reviews statutory corporate insolvency procedures in Tanzania. The paper discusses

More information

An Introduction To Insolvency - Part 1

An Introduction To Insolvency - Part 1 An Introduction To Insolvency - Part 1 An Introduction To Insolvency - Part 1 Introduction A company (or LLP) will be considered to be insolvent if it is unable to pay its debts. A person can be insolvent,

More information

An Overview of UK Insolvency Procedures and the Considerations for Banks with an Insolvent Customer

An Overview of UK Insolvency Procedures and the Considerations for Banks with an Insolvent Customer An Overview of UK Insolvency Procedures and the Considerations for Banks with an Insolvent Customer November 2011 1 An Overview of UK Insolvency Procedures and the Considerations for Banks with an Insolvent

More information

A guide to compulsory liquidations

A guide to compulsory liquidations A guide to compulsory liquidations Introduction A compulsory liquidation is one instituted by the Courts as a result of a petition to the court by an interested party. The appropriate Courts for such actions

More information

DEBT. Law guide - Debt, bankruptcy & liquidation

DEBT. Law guide - Debt, bankruptcy & liquidation DEBT Law guide - Debt, bankruptcy & liquidation Contents Bankruptcy... 3 Arrangements with debtor... 6 Alternatives to bankruptcy... 8 Liquidation... 10 Distribution of assets... 11 Alternatives to liquidation...

More information

Insolvency Law LAD5093 DR. ZULKIFLI HASAN Bankruptcy Winding-up CONTENTS Introduction Insolvency law is concerned with companies and individuals who are debtors and who are unable to repay their debts.

More information

CONTENTS PART 1: GENERAL...4 PART 2: COMPANY VOLUNTARY ARRANGEMENTS...5 PART 3: RECEIVERSHIP...8 PART 4: WINDING UP...11 CHAPTER 1 GENERAL...

CONTENTS PART 1: GENERAL...4 PART 2: COMPANY VOLUNTARY ARRANGEMENTS...5 PART 3: RECEIVERSHIP...8 PART 4: WINDING UP...11 CHAPTER 1 GENERAL... INSOLVENCY LAW DIFC LAW No. 3 of 2009 CONTENTS PART 1: GENERAL...4 1. Title...4 2. Legislative Authority...4 3. Application of the Law...4 4. Date of enactment...4 5. Commencement...4 6. Interpretation...4

More information

Glossary of terms. Bond Quasi fidelity insurance needed by a person who acts as an insolvency practitioner.

Glossary of terms. Bond Quasi fidelity insurance needed by a person who acts as an insolvency practitioner. Glossary of terms Administration Order a) A Court order placing the company that is, or is likely to become, unable to pay its debts under the control of an administrator following an application by, inter

More information

Glossary of Terms - Hong Kong

Glossary of Terms - Hong Kong Glossary of Terms - Hong Kong Ad Valorem Fee Bankruptcy Ad Val, as it is known, was used to fund the operations of the Official Receiver's Office, but nowadays it goes into the general revenue. It has

More information

Forms of Corporate Insolvency

Forms of Corporate Insolvency Forms of Corporate Insolvency There are five categories of insolvency procedure for companies: Company Voluntary Arrangement; Administration; Administrative Receivership; Creditors Voluntary Liquidation;

More information

GUIDE TO INSOLVENT LIQUIDATIONS IN BERMUDA

GUIDE TO INSOLVENT LIQUIDATIONS IN BERMUDA GUIDE TO INSOLVENT LIQUIDATIONS IN BERMUDA CONTENTS PREFACE 1 1. Introduction 2 2. Statutory Liquidation Procedures: an Overview 2 3. Compulsory Winding-up 2 4. Creditors Voluntary Winding-up 4 5. Related

More information

Insolvency: Cayman Islands. Avoidance of Antecedent Transactions

Insolvency: Cayman Islands. Avoidance of Antecedent Transactions Insolvency: Cayman Islands Avoidance of Antecedent Transactions Updated 2 February 2015 Introduction This short guide addresses the issue of whether, and in what circumstances, pre-insolvency transactions

More information

Insolvency: a glossary of terms

Insolvency: a glossary of terms INFORMATION SHEET 41 Insolvency: a glossary of terms This is a brief explanation of some of the terms you may come across in company insolvency proceedings. Please note that this glossary is for general

More information

Financial Restructuring and Transactions IFT Information Note: No. 121. Introduction to Insolvency Processes Schemes of Arrangement and COMI shifting

Financial Restructuring and Transactions IFT Information Note: No. 121. Introduction to Insolvency Processes Schemes of Arrangement and COMI shifting INTRODUCTION This note is intended to act as an introduction to corporate insolvency procedures under the Insolvency Act 1986 (the Act ) (as amended by The Enterprise Act 2002) and otherwise together with

More information

Assets Anything that belongs to the debtor that may be used to pay his/her debts.

Assets Anything that belongs to the debtor that may be used to pay his/her debts. This is a brief explanation of some of the terms you may come across in debt and insolvency proceedings. Please note that this glossary is for general guidance only. Many of the terms have a specific technical

More information

Insolvency (Amendment) Bill

Insolvency (Amendment) Bill Bill [AS INTRODUCED] CONTENTS Provisions relating to communication 1. Attendance at meetings and use of websites 2. References to things in writing Requirements relating to meetings 3. Removal of requirement

More information

Restructuring & insolvency law in the DIFC.

Restructuring & insolvency law in the DIFC. July 2011 Restructuring & insolvency law in the DIFC. The Dubai International Financial Centre ("DIFC") The DIFC is a financial free zone in the Emirate of Dubai which was established in 2004. The DIFC

More information

Insolvency and Liquidation

Insolvency and Liquidation Insolvency and Liquidation There are many different ways of dealing with company debt. In most cases, an authorised insolvency practitioner will be appointed to manage a company s affairs once insolvency

More information

Limited companies. Identifying a limited company. Liability for limited company debts. Information: formal insolvency proceedings.

Limited companies. Identifying a limited company. Liability for limited company debts. Information: formal insolvency proceedings. This fact sheet gives information about private limited companies. We will use the terms limited company and company for the rest of this fact sheet. We explain the responsibilities of limited company

More information

Payment and Settlement Systems (Finality and Netting) Bill

Payment and Settlement Systems (Finality and Netting) Bill Bill No. 41/02 Payment and Settlement Systems (Finality and Netting) Bill Read the first time on 31st October 02. PAYMENT AND SETTLEMENT SYSTEMS (FINALITY AND NETTING) ACT 02 (No. of 02) ARRANGEMENT OF

More information

MIA 7/2010 INSOLVENCY. Learning the Essentials of Corporate Liquidation. April 2010

MIA 7/2010 INSOLVENCY. Learning the Essentials of Corporate Liquidation. April 2010 MIA 7/2010 INSOLVENCY Learning the Essentials of Corporate Liquidation Liquidated d Co.. April 2010 Copyright April 2010 by the Malaysian Institute of Accountants ( MIA ). All rights reserved. Permission

More information

Circular No 16 @ November 2014

Circular No 16 @ November 2014 Circular No 16 @ November 2014 Corporate Insolvency Introduction The new Insolvency Act 2011 provides for the administration, receivership and liquidation of companies, and for the licensing of insolvency

More information

Insolvency: a glossary of terms

Insolvency: a glossary of terms Insolvency: a glossary of terms This is a brief explanation of some of the terms you may come across in company insolvency proceedings. Please note that this glossary is for general guidance only. Many

More information

APPENDIX B A CREDITORS GUIDE TO ADMINISTRATORS REMUNERATION SCOTLAND

APPENDIX B A CREDITORS GUIDE TO ADMINISTRATORS REMUNERATION SCOTLAND APPENDIX B A CREDITORS GUIDE TO ADMINISTRATORS REMUNERATION SCOTLAND This guide applies to all appointments on or after 6 April 2006. Any creditor requiring guidance on a case where the Insolvency Practitioner

More information

Company Insolvency Overview

Company Insolvency Overview February 2010 Introduction 1. This overview is a general information guide only to highlight the differences between the various types of external controllers over company assets. Creditors should seek

More information

Corporate Insolvency in Ireland Dillon Eustace

Corporate Insolvency in Ireland Dillon Eustace Corporate Insolvency in Ireland Dillon Eustace Table of Contents Page 1. Mechanisms of Corporate Insolvency 1 2. Liquidation 1 3. Functions of the Liquidator 2 4. Liquidation and Creditors Rights 2 5.

More information

Insolvency and. Business Recovery. Procedures. A Brief Guide. Compiled by Compass Financial Recovery and Insolvency Ltd

Insolvency and. Business Recovery. Procedures. A Brief Guide. Compiled by Compass Financial Recovery and Insolvency Ltd Insolvency and Business Recovery Procedures A Brief Guide Compiled by Compass Financial Recovery and Insolvency Ltd I What is Insolvency? Insolvency is legally defined as: A company is insolvent (unable

More information

Winding Up Part 11 of the Draft Companies Bill. Brendan Cooney Partner

Winding Up Part 11 of the Draft Companies Bill. Brendan Cooney Partner Winding Up Part 11 of the Draft Companies Bill Brendan Cooney Partner Contents of Presentation Part 11: Winding Up 1. Chapter 1 Preliminary and Interpretation 2. Chapter 2 Winding Up by the Court 3. Chapter

More information

Business Debtline www.businessdebtline.org 0800 0838 018

Business Debtline www.businessdebtline.org 0800 0838 018 BUSINESS DEBTLINE Business Debtline www.businessdebtline.org 0800 0838 018 DEALING WITH DEBTS OF A LIMITED COMPANY FACT SHEET NO. 5 NORTHERN IRELAND This fact sheet gives information about private limited

More information

Limited liability partnership liquidation and insolvency (Scotland)

Limited liability partnership liquidation and insolvency (Scotland) Limited liability partnership liquidation and insolvency (Scotland) GPLLP5s August 2014 Insolvency Act 1986 This guidance is available in alternative formats which include Braille, large print and audio

More information

Formalities. CROSS-BORDER HANDBOOKS www.practicallaw.com/restructurehandbook 159

Formalities. CROSS-BORDER HANDBOOKS www.practicallaw.com/restructurehandbook 159 Restructuring and Insolvency 2007/08 South Africa South Africa Leonard Katz, Edward Nathan Sonnenbergs www.practicallaw.com/0-234-3973 SECURITY AND PRIORITIES Formalities 1. What are the most common forms

More information

INSOLVENT TENANTS OPTIONS FOR LANDLORDS

INSOLVENT TENANTS OPTIONS FOR LANDLORDS INSOLVENT TENANTS OPTIONS FOR LANDLORDS Contents 1 Tenant in Liquidation... 2 2 Tenant in Administration... 3 3 Tenant in Receivership... 3 4 Tenant in Company Voluntary Arrangement... 5 5 Tenant in Bankruptcy...

More information

COMPANIES REGISTRY NOTES FOR GUIDANCE ON LIQUIDATION AND INSOLVENCY. DEPARTMENT of ENTERPRISE, TRADE and INVESTMENT CONTENTS INTRODUCTION

COMPANIES REGISTRY NOTES FOR GUIDANCE ON LIQUIDATION AND INSOLVENCY. DEPARTMENT of ENTERPRISE, TRADE and INVESTMENT CONTENTS INTRODUCTION DEPARTMENT of ENTERPRISE, TRADE and INVESTMENT COMPANIES REGISTRY NOTES FOR GUIDANCE ON LIQUIDATION AND INSOLVENCY CONTENTS INTRODUCTION 1. General information 2. Voluntary arrangements 3. Administration

More information

Corporate restructuring guidelines Insolvency

Corporate restructuring guidelines Insolvency Corporate restructuring guidelines Insolvency Prepared by: 1 Whitney Moore Published by: Irish Business and Employers Confederation 84-86 Lower Baggot Street Dublin 2 Date of publication: April 2010 Author:

More information

The main source of law relating to corporate insolvency in Jamaica is Part

The main source of law relating to corporate insolvency in Jamaica is Part Jamaica Myers, Fletcher & Gordon and PricewaterhouseCoopers Jamaica Peter Goldson, partner Gina Phillipps-Black, partner Shuana-Kaye A Hanson, associate Myers, Fletcher & Gordon John Wesley Lee, partner

More information

Gita Radhakrishna. Multimedia University (Melaka campus), Melaka, Malaysia

Gita Radhakrishna. Multimedia University (Melaka campus), Melaka, Malaysia IBIMA Publishing Journal of Southeast Asian Research http://www.ibimapublishing.com/journals/jsar/jsar.html Vol. 2012(2012), Article ID 597752, 15 pages DOI: 10.5171/2012.597752 Rethinking Insolvency Laws

More information

BANKRUPTCY LAW IN THE KINGDOM OF THAILAND

BANKRUPTCY LAW IN THE KINGDOM OF THAILAND BANKRUPTCY LAW IN THE KINGDOM OF THAILAND Cynthia M. Pornavalai T: +66 2653 5559 E: cynthia.p@tillekeandgibbins.com I. Introduction The 1997 Asian financial crisis had crippled many Asian economies in

More information

Partner, Ligomarc Advocates

Partner, Ligomarc Advocates Kabiito Karamagi Partner, Ligomarc Advocates Introduction The Kenneth Cook Report United Kingdom. The Tyler Committee Report Hong Kong Uganda Law Reform Commission The Reid and Priest Claire Manuel Kalenge,

More information

A voluntary bankruptcy under the BIA commences when a debtor files an assignment in bankruptcy with the Office of the Superintendent of Bankruptcy.

A voluntary bankruptcy under the BIA commences when a debtor files an assignment in bankruptcy with the Office of the Superintendent of Bankruptcy. Bankruptcy and Restructuring 121 BANKRUPTCY AND RESTRUCTURING Under Canadian constitutional law, the federal government has exclusive legislative control over bankruptcy and insolvency matters. Insolvency

More information

Company Voluntary Arrangements

Company Voluntary Arrangements BRIEFING PAPER Number CPB06944, 10 December 2015 Company Voluntary Arrangements By Lorraine Conway Inside: 1. Introduction 2. CVA procedure 3. The advantages of a CVA 4. The disadvantages of a CVA 5. Past

More information

Glossary of Terms: Insolvency and Restructuring

Glossary of Terms: Insolvency and Restructuring Glossary of Terms: Insolvency and Restructuring Administration Administration is the court supervised process by which a Licensed Insolvency Practitioner called an administrator takes control of an insolvent

More information

Bermuda Winding-Up Procedures

Bermuda Winding-Up Procedures Bermuda Winding-Up Procedures Foreword The following is a summary of the law and procedure under the Companies Act 1981 ("the Act") in so far as it relates to liquidations of companies in Bermuda. The

More information

Higher National Unit specification. General information. Unit code: H49N 35. Unit purpose. Outcomes. Credit points and level.

Higher National Unit specification. General information. Unit code: H49N 35. Unit purpose. Outcomes. Credit points and level. Higher National Unit specification General information Unit code: H49N 35 Superclass: EC Publication date: June 2013 Source: Scottish Qualifications Authority Version: 01 Unit purpose This Unit is designed

More information

Creditors Rights in Insolvency Proceedings: A Practical Guide for Smaller Practices

Creditors Rights in Insolvency Proceedings: A Practical Guide for Smaller Practices BERMUDA BRITISH VIRGIN ISLANDS CAYMAN ISLANDS CYPRUS DUBAI HONG KONG LONDON MAURITIUS MOSCOW SÃO PAULO SINGAPORE conyersdill.com November 2010 Creditors Rights in Insolvency Proceedings: A Practical Guide

More information

An Introduction to English Insolvency Law. slaughter and may. April 2013

An Introduction to English Insolvency Law. slaughter and may. April 2013 An Introduction to English Insolvency Law slaughter and may April 2013 Contents 1. Formal Procedures 01 1.1. Overview 01 1.2. Administration 02 1.3. Company Voluntary Arrangement ( CVA ) 04 1.4. Creditors

More information

Comparison of Corporate Insolvency Procedures

Comparison of Corporate Insolvency Procedures Comparison of Corporate Insolvency Procedures There are five categories of insolvency procedure for companies in England, Wales and Northern Ireland. These are: Company Voluntary Arrangement (CVA) Administration

More information

Corporate Insolvency in Ireland

Corporate Insolvency in Ireland Corporate Insolvency in Ireland 0 CORPORATE INSOLVENCY IN IRELAND Introduction The collapse of the celtic tiger in Ireland has triggered a significant increase in the number of corporate entities incorporated

More information

Liquidating an insolvent Jersey company

Liquidating an insolvent Jersey company Liquidating an insolvent Jersey company DECEMBER 2011 For more briefings visit mourantozannes.com This briefing is only intended to give a summary and general overview of the subject matter. It is not

More information

Singapore: Insolvency Law Review Committee Recommendations.

Singapore: Insolvency Law Review Committee Recommendations. November 2013 Singapore: Insolvency Law Review Committee Recommendations. Contents 1 Background In December 2010, the Minister of Law of Singapore (the MoL ) appointed the Insolvency Law Review Committee

More information

Submission. Ministry of Economic Development. Draft Insolvency Law Reform Bill Discussion Document. to the. on the

Submission. Ministry of Economic Development. Draft Insolvency Law Reform Bill Discussion Document. to the. on the Submission by to the Ministry of Economic Development on the Draft Insolvency Law Reform Bill Discussion Document 11 June 2004 PO Box 1925 Wellington Ph: 04 496 6555 Fax: 04 496 6550 1. INTRODUCTION 1.1.

More information

CLEARING AND SETTLEMENT SYSTEMS BILL

CLEARING AND SETTLEMENT SYSTEMS BILL C1881 CLEARING AND SETTLEMENT SYSTEMS BILL CONTENTS Clause Page PART 1 PRELIMINARY 1. Short title and commencement... C1887 2. Interpretation... C1887 PART 2 DESIGNATION AND OVERSIGHT Division 1 Designation

More information

2. Accounting standard 14 is a nature of - a) mandatory, b) compulsory, c) injunction, d) all of these.

2. Accounting standard 14 is a nature of - a) mandatory, b) compulsory, c) injunction, d) all of these. 1. Accounting standard 14 is related with - a) amalgamation, b) valuation of stock, c) depreciation accounting, d) valuation of assets. 2. Accounting standard 14 is a nature of - a) mandatory, b) compulsory,

More information

VIETNAM LEGAL UPDATE: NEW LAW ON BANKRUPTCY TO TAKE EFFECT IN JANUARY

VIETNAM LEGAL UPDATE: NEW LAW ON BANKRUPTCY TO TAKE EFFECT IN JANUARY VIETNAM LEGAL UPDATE: NEW LAW ON BANKRUPTCY TO TAKE EFFECT IN JANUARY 22 DECEMBER 2014 In brief: Vietnam's new Law on Bankruptcy will take effect from 1 January 2015, bringing in a number of changes, including

More information

Overview of the English law administration procedure and practical guidance for creditors

Overview of the English law administration procedure and practical guidance for creditors Overview of the English law administration procedure and practical guidance for creditors Set out below is an overview of the administration procedure, together with some practical guidance on the steps

More information

ILA Response to Red Tape Challenge Changes to insolvency law to reduce unnecessary regulation and simplify procedures

ILA Response to Red Tape Challenge Changes to insolvency law to reduce unnecessary regulation and simplify procedures ILA Response to Red Tape Challenge Changes to insolvency law to reduce unnecessary regulation and simplify procedures The Insolvency Lawyers Association (the "ILA") provides a forum for c 450 full, associate,

More information

Trustees and Liquidators in Bankruptcies and Compulsory Liquidations

Trustees and Liquidators in Bankruptcies and Compulsory Liquidations Trustees and Liquidators in Bankruptcies and Compulsory Liquidations Information on the appointment, functions, powers and payment of trustees and liquidators, and their complaints procedure. Contents

More information

INSOLVENCY (BANKRUPTCY & LIQUIDATION) AND CHARGING ORDER POLICY

INSOLVENCY (BANKRUPTCY & LIQUIDATION) AND CHARGING ORDER POLICY EK SERVICES POLICIES AND PROCEDURES INSOLVENCY (BANKRUPTCY & LIQUIDATION) AND CHARGING ORDER POLICY EK Services Insolvency & Charging Order Policy 1 Contents 1. Introduction and purpose of policy document

More information

Insolvency: a guide for directors When Where How - What

Insolvency: a guide for directors When Where How - What Insolvency: a guide for directors When Where How - What Contents 1. About this guide... 3 What is insolvency?... 3 What is The Insolvency Service?... 3 What is compulsory liquidation (winding up by the

More information

DIFC Insolvency Regulations (IR)

DIFC Insolvency Regulations (IR) DIFC Insolvency Regulations (IR) 74085-00002 BK:9905372.1 1 1 October 2008 Contents The contents of this module are divided into the following Chapters, Sections and Annexes. 1. Introduction... 5 1.1 Application

More information

Liquidation and insolvency

Liquidation and insolvency Liquidation and insolvency GPO8 July 2013 Companies Act 2006 This guidance is available in alternative formats which include Braille, large print and audio tape. For further details please email our enquiries

More information

Guidance for insolvency practitioners and official receivers

Guidance for insolvency practitioners and official receivers Guidance for insolvency practitioners and official receivers An introduction from the Chief Executive Dear Insolvency Practitioner/Official Receiver This guide provides information on how insolvency practitioners

More information

NOTE - This document is provided for guidance only and does not purport to be a legal interpretation. PERSONAL INSOLVENCY ACT 2012

NOTE - This document is provided for guidance only and does not purport to be a legal interpretation. PERSONAL INSOLVENCY ACT 2012 Background to and purpose of the Act PERSONAL INSOLVENCY ACT 2012 EXPLANATORY MEMORANDUM The Act provides for the reform of personal insolvency law and will introduce the following new non-judicial debt

More information

The Commonwealth of The Bahamas comprises over 700 islands and cays,

The Commonwealth of The Bahamas comprises over 700 islands and cays, The Bahamas Alexiou Knowles & Co and PricewaterhouseCoopers The Bahamas Emerick A Knowles, partner Alexiou Knowles & Co Clifford A Johnson, partner PricewaterhouseCoopers The Commonwealth of The Bahamas

More information

Insolvency: a guide for directors When Where How - What

Insolvency: a guide for directors When Where How - What Insolvency: a guide for directors When Where How - What Contents 1. About this guide... 3 What is insolvency?... 3 What is The Insolvency Service?... 3 What is compulsory liquidation (winding up by the

More information

Liquidation: a guide for employees

Liquidation: a guide for employees INFORMATION SHEET 46 Liquidation: a guide for employees If a company is in financial difficulty, its shareholders, creditors or the court can put the company into liquidation. This information sheet provides

More information

ACCOUNTING SOLUTIONS SCO: 209, First Floor, Sector-36/D. Chandigarh (M): 0172-4670390-5017149, 9876149390

ACCOUNTING SOLUTIONS SCO: 209, First Floor, Sector-36/D. Chandigarh (M): 0172-4670390-5017149, 9876149390 Liquidation of Companies Meaning: Liquidation is the legal procedure by which a company comes to an end. The term Liquidation mean The process of law where by a company is wound up to terminate its corporate

More information

A Guide for Creditors

A Guide for Creditors A Guide for Creditors Contents 1. About this guide... 3 2. What is The Insolvency Service?... 3 3. What is insolvency?... 3 4. What are the insolvency procedures?... 4 5. Who deals with the insolvency

More information

Guide To Compulsory Liquidation Of Companies In The Cayman Islands

Guide To Compulsory Liquidation Of Companies In The Cayman Islands This guide provides general information for creditors and shareholders of insolvent companies. Any queries may be addressed to Chris Johnson of Chris Johnson Associates Ltd. Guide To Compulsory Liquidation

More information

A CREDITORS GUIDE TO INSOLVENCY PRACTITIONERS FEES

A CREDITORS GUIDE TO INSOLVENCY PRACTITIONERS FEES A CREDITORS GUIDE TO INSOLVENCY PRACTITIONERS FEES This document contains two (2) sections SECTION A Individual Voluntary Arrangements (IVA s) SECTION B Scottish Protected Trust Deed s (PTD s) SECTION

More information

Bermuda is a major offshore business jurisdiction with more than 13,500

Bermuda is a major offshore business jurisdiction with more than 13,500 Bermuda Kehinde AL George, partner Attride-Stirling & Woloniecki Peter CB Mitchell, senior partner PricewaterhouseCoopers Bermuda is a major offshore business jurisdiction with more than 13,500 registered

More information

Trust Deed Equivalents in Australia, Canada and the U.S.

Trust Deed Equivalents in Australia, Canada and the U.S. Trust Deed Equivalents in Australia, Canada and the U.S. Australia A personal insolvency agreement (PIA) under Part X of the Bankruptcy Act 1966 is a way for a debtor to come to an agreement with their

More information

Alternatives to bankruptcy

Alternatives to bankruptcy Alternatives to bankruptcy Contents Introduction... 3 You do not have to become bankrupt just because you are in debt.... 3 Informal Arrangements?... 3 Informal arrangements, also known as 'family arrangements'

More information

WINDING UP A CAYMAN ISLANDS COMPANY

WINDING UP A CAYMAN ISLANDS COMPANY WINDING UP A CAYMAN ISLANDS COMPANY INTRODUCTION WINDING UP A CAYMAN ISLANDS COMPANY A Cayman Islands company can be dissolved by the appointment of a liquidator or it can be dissolved without such appointment

More information

A Consultative Document. On Company Liquidation - Reforms and Restatement of the Law

A Consultative Document. On Company Liquidation - Reforms and Restatement of the Law 4 A Consultative Document On Company Liquidation - Reforms and Restatement of the Law C o n t e n t s Section A : Foreword Page 1. Foreword 5 Section B : Executive Summary 1. Proposals 11 Section C : Company

More information

A Guide for Directors

A Guide for Directors A Guide for Directors Contents 1. About this Guide...3 2. Compulsory liquidation (winding up by the High Court) - the procedure...5 3. Disqualification of unfit directors of insolvent companies 10 4. Criminal

More information

Cayman Islands Insolvency Law

Cayman Islands Insolvency Law Cayman Islands Insolvency Law Foreword This memorandum has been prepared for the assistance of those who are considering issues pertaining to the insolvency of companies in the Cayman Islands. It deals

More information

LEVEL 4 - UNIT 8 PERSONAL INSOLVENCY SUGGESTED ANSWERS - JANUARY 2015

LEVEL 4 - UNIT 8 PERSONAL INSOLVENCY SUGGESTED ANSWERS - JANUARY 2015 Note to Candidates and Tutors: LEVEL 4 - UNIT 8 PERSONAL INSOLVENCY SUGGESTED ANSWERS - JANUARY 2015 The purpose of the suggested answers is to provide students and tutors with guidance as to the key points

More information

Israel. Zellermayer, Pelossof & Co

Israel. Zellermayer, Pelossof & Co Israel Ofer Shapira, Partner The Israeli legislation on insolvent companies is principally set out in: Zellermayer, Pelossof & Co the Companies Ordinance (New Version) 1983; the Bankruptcy Ordinance 1980;

More information

1) Does your country have a registration system for IP licenses? If yes, please describe this system.

1) Does your country have a registration system for IP licenses? If yes, please describe this system. Question Q241 National Group: India Title: IP Licenses and Insolvency Contributors: Himanshu W. Kane Reporter within Working Committee: Himanshu W. Kane Date: 12 th September 2014 Questions I. Current

More information

A Brief Guide to Corporate Insolvency in England and Wales

A Brief Guide to Corporate Insolvency in England and Wales A Brief Guide to Corporate Insolvency in England and Wales International Investor Series No. 8 AUSTRALIA BELGIUM CHINA FRANCE GERMANY HONG KONG SAR INDONESIA (ASSOCIATED OFFICE) ITALY JAPAN PAPUA NEW GUINEA

More information

Information Book 7 Liquidators, Receivers & Examiners

Information Book 7 Liquidators, Receivers & Examiners Decision Notice D/2011/1 Information Book 7 Liquidators, Receivers & Examiners The Principal Duties and Powers of Liquidators, Receivers & Examiners under the Companies Acts 1963-2009 Decision Notice

More information

www.herrington-carmichael.com

www.herrington-carmichael.com This publication is written as a general guide only. It is not intended to contain definitive legal The protection of employment rights in scenarios where businesses are being acquired (asset purchases)

More information

Top ten questions from creditors of troubled companies

Top ten questions from creditors of troubled companies Top ten questions from creditors of troubled companies A Guest Article by Julian Charles January 2010 What creditors want to know Below are the ten questions most frequently asked by creditors of companies

More information

A Guide to Personal Insolvency in Hong Kong

A Guide to Personal Insolvency in Hong Kong A Guide to Personal Insolvency in Hong Kong What is Bankruptcy? Bankruptcy is a process to realise an insolvent individual s assets and distribute the proceeds amongst his creditors. It starts when the

More information

Insolvency (Scotland) Rules 1986 (SI 1986/1915)... 10. 0.1 Citation and commencement... 10 0.3 Application... 12

Insolvency (Scotland) Rules 1986 (SI 1986/1915)... 10. 0.1 Citation and commencement... 10 0.3 Application... 12 Page 1 Insolvency (Scotland) Rules 1986 (SI 1986/1915)... 10 0.1 Citation and commencement... 10 0.3 Application... 12 Part 1Company Voluntary Arrangements... 12 Chapter 1Preliminary... 12 1.1 Scope of

More information

Liquidators, Receivers & Examiners under the Companies Acts 1963-2001

Liquidators, Receivers & Examiners under the Companies Acts 1963-2001 Decision Notice D/2002/1 The Principal Duties and Powers of Liquidators, Receivers & Examiners under the Companies Acts 1963-2001 Information Book 7 - Liquidators, Receivers & Examiners www.odce.ie Decision

More information

Liquidation: a guide for employees

Liquidation: a guide for employees INFORMATION SHEET 46 Liquidation: a guide for employees If a company is in financial difficulty, its shareholders, creditors or the court can put the company into liquidation. This information sheet provides

More information

Business Status Alerts User guide

Business Status Alerts User guide Business Status Alerts User guide Contents Introduction... 2 Business Information Services... 2 Login... 3 Searches... 3 Business searches... 3 Displaying a report... 4 Non-limited business reports...

More information

Taking Control. guide to Debt Solutions. Your comprehensive

Taking Control. guide to Debt Solutions. Your comprehensive Taking Control Your comprehensive guide to Debt Solutions 1 Contents Page Number About X-debt 3 Debt Solutions: Individual Voluntary Arrangements (IVAs) 4 Company Voluntary Arrangements (CVAs) 5 Debt Management

More information

Restructuring & Insolvency. Liquidation

Restructuring & Insolvency. Liquidation Restructuring & Insolvency Liquidation What and why? Liquidation is a procedure used to bring a company s existence to an end where: it has insufficient assets to satisfy all of its liabilities; or though

More information

COURT WINDINGS UP AND THE COMPANIES ACT 2014

COURT WINDINGS UP AND THE COMPANIES ACT 2014 COURT WINDINGS UP AND THE COMPANIES ACT 2014 Paper by Brian Conroy BL delivered on 15 June 2015 THE TRANSITION TO THE NEW REGIME 1. The vast majority of the provisions of the Companies Act 2014 ( the Act

More information

insolvency group Help and advice for Businesses and Limited Companies Licensed Insolvency Practitioners & Business Recovery Professionals

insolvency group Help and advice for Businesses and Limited Companies Licensed Insolvency Practitioners & Business Recovery Professionals focus insolvency group Help and advice for Businesses and Limited Companies Licensed Insolvency Practitioners & Business Recovery Professionals Call: 0800 157 7330 or 01257 251319 www.focusinsolvencygroup.co.uk

More information

Bermuda. Jonathan Betts and Sarah-Jane Hurrion Cox Hallett Wilkinson Limited. Country Q&A. Restructuring and Insolvency Handbook 2011/12.

Bermuda. Jonathan Betts and Sarah-Jane Hurrion Cox Hallett Wilkinson Limited. Country Q&A. Restructuring and Insolvency Handbook 2011/12. Restructuring and Insolvency Handbook 2011/12 Bermuda Jonathan Betts and Sarah-Jane Hurrion Cox Hallett Wilkinson Limited www.practicallaw.com/9-505-8289 FORMS OF SECURITY 1. What are the most common forms

More information

At the EGM, the shareholders decide to put the company into liquidation and vote for the insolvency practitioner that they wish to be appointed.

At the EGM, the shareholders decide to put the company into liquidation and vote for the insolvency practitioner that they wish to be appointed. For a Director My Company is Insolvent What Should I Do? There are a number of options available; Creditors Voluntary Liquidation (CVL) Compulsory Liquidation (Winding Up) Informal wind down or dissolution

More information