- Section 570 of Insolvency Act CAP 53: Business to be conducted at initial creditors' meeting and obligation of administrator to report outcome to the Court and others
(1) An initial creditors' meeting to which an administrator's proposals are presented shall consider them and may—
(a) approve them without modification; or
(b) approve them with modifications to which the administrator consents.
(2) As soon as practicable after the initial creditors' meeting has...
- Section 571 of Insolvency Act CAP 53: Administrator's proposals can be revised
(1) This section applies if—
(a) an administrator's proposals have been approved (with or without modification) at an initial creditors' meeting;
(b) the administrator proposes a revision to the proposals; and
(c) the administrator believes that the proposed revision is substantial.
(2) When...
- Section 572 of Insolvency Act CAP 53: Consequences of failure to obtain approval of administrator's proposals
(1) This section applies if an administrator reports to the Court that—
(a) an initial creditors' meeting has failed to approve the administrator's proposals presented to
it; or
(b) a creditors' meeting has failed to approve a revision of the administrator's proposals presented to it.
(2) The...
- Section 573 of Insolvency Act CAP 53: Power of administrator to convene further creditors' meetings
(1) The administrator of a company shall convene a creditors' meeting if—
(a) in the manner prescribed by the insolvency regulations, it is requested by creditors of the company holding debts amounting to at least ten percent of the total debts of the company; or
(b) the administrator is directed...
- Section 574 of Insolvency Act CAP 53: Creditors' meeting may establish creditors' committee
(1) A creditors' meeting may establish a creditors' committee.
(2) A creditors' committee shall perform the functions conferred on it by or under this Act.
(3) A creditors' committee may require the administrator—
(a) to appear before the committee at any reasonable time of which the...
- Section 575 of Insolvency Act CAP 53: Creditors' meeting can be conducted by correspondence
(1) Any matter or decision that is required or permitted by or under this Part to be dealt with or made at a creditors' meeting may be dealt with or made by correspondence between the administrator and creditors—
(a) as provided by the insolvency regulations; and
(b) subject to any condition...
- Section 576 of Insolvency Act CAP 53: Specific functions of administrator
The administrator of a company has the functions and powers specified in the Fourth Schedule.
- Section 577 of Insolvency Act CAP 53: Power of administrator to remove and appoint directors of company
The administrator of a company—
(a) may remove a director of the company from office; and
(b) may appoint a person to be director of the company (whether or not to fill a vacancy).
- Section 578 of Insolvency Act CAP 53: Power of administrator to convene meetings of members and creditors of company
The administrator of a company may convene a meeting of members or creditors of the company.
- Section 579 of Insolvency Act CAP 53: Power of administrator to seek directions from the Court
(1) On the application of the administrator of a company, the Court may give directions with respect to the performance and exercise of the administrator's functions and powers and the conduct of the administration generally.
(2) An administrator shall comply with any directions given to the...
- Section 580 of Insolvency Act CAP 53: General powers of administrator
(1) The administrator of a company may take any action that contributes to, or is likely to contribute to, the effective and efficient management of the affairs and property of the company.
(2) A provision of this Part that expressly permits the administrator to do or not to do a specified act does...
- Section 581 of Insolvency Act CAP 53: Company under administration not to perform management functions without administrator's consent
(1) A company under administration, or an officer of a company under administration, shall not perform or exercise a management function without the consent of the administrator.
(2) For the purpose of subsection (1)—
(a) "management function" means a function or power that could be performed or...
- Section 582 of Insolvency Act CAP 53: Power of administrator to distribute company's assets to creditors
(1) The administrator of a company may make a distribution to creditors of the company.
(2) Section 471 and the Second Schedule apply in relation to a distribution under this section as they apply in relation to the liquidation of a company.
(3) In the case of a creditor of the company who is...
- Section 583 of Insolvency Act CAP 53: Power of administrators to make special payments in certain cases
The administrator of a company may make a payment otherwise than in accordance with section 582 or paragraph 13 of the Fourth Schedule if the administrator believes it likely to assist achievement of the purpose of administration.
- Section 584 of Insolvency Act CAP 53: Duty of administrator to assume control of property of company
Immediately on being appointed as administrator of a company, the administrator shall assume control of all the property to which the administrator believes the company is entitled.
- Section 585 of Insolvency Act CAP 53: Duty of administrator to manage affairs and property of company
(1) Subject to subsection (2), the administrator of a company shall manage its affairs and property in accordance with—
(a) any proposals approved under section 570;
(b) any revision of those proposals that is made by the administrator and that the administrator does not consider substantial;...
- Section 586 of Insolvency Act CAP 53: Administrator is agent of company
In performing and exercising the administrator's functions and powers under this Part, the administrator of a company acts as its agent.
- Section 587 of Insolvency Act CAP 53: Power of administrator to dispose of, and deal with, charged property: floating charge
(1) The administrator of a company may dispose of, or take action relating to, property that is subject to a floating charge as if it were not subject to the charge.
(2) If property is disposed of in reliance on subsection (1), the holder of the floating charge has the same priority in respect of...
- Section 588 of Insolvency Act CAP 53: Power of administrator to dispose of, and deal with, charged property: non-floating charge
(1) On the application of the administrator of a company, the Court may make an order enabling the administrator to dispose of property that is subject to a security as if it were not subject to the security.
(2) An order under subsection (1) may be made if the Court believes that disposal of the...
- Section 589 of Insolvency Act CAP 53: Power of administrator to dispose of goods that are subject to credit purchase transaction
(1) The Court may make an order authorising the administrator of a company to dispose of goods that are in the possession of the company under a credit purchase transaction as if all the rights of the owner under the agreement were vested in the company.
(2) An order under subsection (1) may be...
- Section 590 of Insolvency Act CAP 53: Protection for secured and preferential creditors
(1) An administrator's statement of proposals under section 566 may not include action that— (a) affects the right of a secured creditor of the company to enforce the creditor's security;
(b) would result in a preferential debt of the company being paid otherwise than in priority to its...
- Section 591 of Insolvency Act CAP 53: Administrator's conduct of administration can be challenged
(1) A creditor or member of a company under administration may apply to the Court claiming—
(a) that the administrator is acting or has acted so as to detrimentally affect the interests of the applicant (whether alone or in common with some or all other members or creditors of the company);...
- Section 592 of Insolvency Act CAP 53: Power of the Court to examine conduct of administrator's administration of the company
(1) The Court may examine the conduct of a person who—
(a) is or purports to be the administrator of a company; or
(b) has been, or has purported to be, the administrator of a company.
(2) An examination under this section may be held only on the application of— (a) the Official...
- Section 593 of Insolvency Act CAP 53: Automatic end of administration
The appointment of an administrator automatically ends at the end of twelve months from and including the date on which it took effect.
- Section 594 of Insolvency Act CAP 53: Circumstances in which administrator's term of office can be extended
(1) Despite section 593—
(a) on the application of an administrator, the Court may by order extend the administrator's term of office for a specified period; and
(b) an administrator's term of office may be extended by consent for a specified period not exceeding six months.
(2) An order of the...
- Section 595 of Insolvency Act CAP 53: Court may terminate administration on application of administrator
(1) The administrator of a company shall make an application to the Court for an order terminating the administrator's appointment—
(a) on forming the belief that—
(i) the objective of the administration cannot be achieved in relation to the company; or
(ii) the company should not have entered...
- Section 596 of Insolvency Act CAP 53: Termination of administration when objective achieved
(1) This section applies to an administrator of a company who is appointed under section 534 or 541.
(2) If the administrator believes that the purpose of administration has been sufficiently achieved in relation to the company, the administrator may lodge—
(a) with the Court; and
(b) with the...
- Section 597 of Insolvency Act CAP 53: Court may terminate administrator's appointment on application of creditor
(1) A creditor of a company that is under administration may make an application to the Court for an order terminating the appointment of an administrator of the company.
(2) An application under subsection (1) may be made only if it alleges an improper motive—
(a) in the case of an administrator...
- Section 598 of Insolvency Act CAP 53: Court to terminate administrator's appointment on making of public interest liquidation order
(1) If a liquidation order is made for the liquidation of a company under administration on an application made under section 425, the Court shall make an order—
(a) terminating the appointment of the administrator; or
(b) directing the appointment of the administrator to continue to have...
- Section 599 of Insolvency Act CAP 53: Procedure for moving from administration to creditors' voluntary liquidation
(1) This section applies if the administrator of a company believes—
(a) that the total amount that each secured creditor of the company is likely to receive has been paid to the creditor or set aside for the creditor; and
(b) if there are any unsecured creditors, that a distribution will be made...