SCHEDULE 1
Rule 2
Amendments to the Insolvency Rules 1986
1. General amendments
Except in the Forms contained in Schedule 4 to the 1986 Rules, for each word in the first column wherever it appears substitute the corresponding word in the second column.
Old words |
New words |
Fit (when used of decisions by the court) |
Just |
Leave (except in Rule 4.20) |
Permission |
Sign |
Authenticate |
Signing |
Authenticating |
Signs |
Authenticates |
Signed |
Authenticated |
Signature |
Authentication |
2. Amendments to Rule 0.2
(1) Rule 0.2 (construction and interpretation) is amended as follows.
(2) Omit paragraph (2).
(3) In paragraph (3), for “paragraphs (1) and (2)” substitute “paragraph (1)”.
3. Amendments to Rule 1.3
(1) Rule 1.3 (contents of the proposal) is amended as follows.
(2) In paragraph (2)—
(a)
(a) in sub-paragraph (p), at the end omit “and”;
(b)
(b) after sub-paragraph (q) add—
“; and
(r)
(r) such other matters (if any) as the directors consider appropriate for ensuring that members and creditors are enabled to reach an informed decision on the proposal.”
(3) In paragraph (3) for “former’s” substitute “nominee’s”.
4. Amendments to Rule 1.5
(1) Rule 1.5 (statement of affairs) is amended as follows.
(2) In paragraph (1)—
(a)
(a) for “within 7 days after their” substitute “at the same time as the”;
(b)
(b) omit “or within such longer time as he may allow,”.
(3) For paragraph (4), substitute—
“The statement must be verified by a statement of truth made by at least one director.”.
5. Amendment to Rule 1.6
(1) Rule 1.6 (additional disclosure for assistance of nominee) is amended as follows.
(2) In paragraph (3) for “him” to “records” substitute “the nominee such access to the company’s accounts and records as the nominee may require”.
6. Amendments to Rule 1.8
(1) Rule 1.8 (replacement of nominee) is amended as follows.
(2) In paragraphs (1) and (2), for “7” substitute “5 business”.
7. Amendments to Rule 1.9
(1) Rule 1.9 (summoning of meetings under s 3) is amended as follows.
(2) In paragraph (1) omit “less than 14, nor”.
(3) In paragraph (2)(a), for “whom he” substitute “whose address the nominee”.
(4) In paragraph (3), for “Rule 1.19(1)” substitute “Rule 1.19(2)”.
8. Amendment to Rule 1.10
(1) Rule 1.10 (preparation of proposal) is amended as follows.
(2) For paragraph (1) substitute—
“1 The responsible insolvency practitioner’s proposal must specify all such matters as under Rule 1.3 (subject to paragraph (3) below) in Chapter 2 the directors of the company would be required to include in a proposal by them, with the addition, where the company is in administration or liquidation, of the nature and amount of its preferential creditors.”.
9. Amendment to Rule 1.11
(1) Rule 1.11 (summoning of meetings under s 3) is amended as follows.
(2) In paragraph (1)(a), for “whom the insolvency practitioner is” substitute “whose address the insolvency practitioner is otherwise”.
10. Amendments to Rule 1.13
(1) Rule 1.13 (summoning of meetings) is amended as follows.
(2) In paragraph (1), for “the person summoning the meeting (“the convener”) shall” substitute “the nominee must”.
(3) In paragraph (4), for “7” substitute “5 business”.
11. Amendments to Rule 1.14
(1) Rule 1.14 (the chairman at meetings) is amended as follows.
(2) In paragraph (1) for “convener shall” substitute “nominee must”.
(3) In paragraph (2)(c) for “convenor” substitute “nominee”.
12. Amendment to Rule 1.16
(1) Rule 1.16 (attendance by company officers) is amended as follows.
(2) In paragraph (1), for “convener” wherever it appears substitute “nominee”.
13. Amendments to Rule 1.19
(1) Rule 1.19 (requisite majorities (creditors)) is amended as follows.
(2) For paragraphs (1) and (2) substitute—
“1 Subject to paragraph (2), at the creditors’ meeting, a resolution is passed when a majority (in value) of those present and voting in person or by proxy have voted in favour of it.
2 A resolution to approve the proposal or a modification is passed when a majority of three-quarters or more (in value) of those present and voting in person or by proxy have voted in favour of it.”.
(3) In paragraph (3)(a), for “convener of the meeting” substitute “nominee”.
14. Amendment to Rule 1.21
(1) Rule 1.21 (conduct of meetings) is amended as follows.
(2) After paragraph (4) insert —
“4A Once only in the course of a meeting the chairman may, without an adjournment, declare it suspended for any period up to 1 hour.”.
15. Amendment to Rule 1.22
(1) Rule 1.22 (resolutions to follow approval) is amended as follows.
(2) In paragraph (1), for “may” where it appears first substitute “must”.
16. Amendment to Rule 1.22A
(1) Rule 1.22A (notice of order made under section 4A(6)) is amended as follows.
(2) In paragraph (5), for “7” substitute “5 business”.
17. Amendments to Rule 1.24
(1) Rule 1.24 (report of meetings) is amended as follows.
(2) In paragraph (3), after “4” insert “business”.
(3) In the second sentence of paragraph (4), for “immediately” substitute “as soon as reasonably practicable”.
18. Amendment to Rule 1.25
(1) Rule 1.25 (revocation or suspension of the arrangement) is amended as follows.
(2) In paragraphs (4)(b) and (5), for “7” substitute “5 business”.
19. Substitution of Rule 1.26
For Rule 1.26 (supervisor’s accounts and reports) substitute—
“Supervisor’s accounts and reports
1.26A.—(1) Paragraph (2) applies where the voluntary arrangement authorises or requires the supervisor—
(a)
(a) to carry on the business of the company or trade on its behalf or in its name; or
(b)
(b) to realise assets of the company; or
(c)
(c) otherwise to administer or dispose of any of its funds.
(2) The supervisor must keep accounts and records of the supervisor’s acts and dealings in, and in connection with, the arrangement, including in particular records of all receipts and payments of money.
(3) The supervisor must preserve any accounts and records in paragraph (2) which—
(a)
(a) were kept by any other person who has acted as supervisor of the arrangement; and
(b)
(b) are in the supervisor’s possession.
(4) Subject to paragraph (5), the supervisor must in respect of each period of 12 months ending with the anniversary...