http://www.legislation.gov.uk/uksi/2016/1024/rule/7.74/2021-09-30The Insolvency (England and Wales) Rules 2016texttext/xmlenStatute Law DatabaseINSOLVENCY, ENGLAND AND WALES;COMPANIES, INDIVIDUALS2024-07-02Expert Participation2021-09-30 These Rules set out the detailed procedures for the conduct of all company and personal insolvency proceedings in England and Wales under the Insolvency Act 1986 and otherwise give effect to that Act. These Rules supersede the Insolvency Rules 1986 (SI 1986/1925 as amended). Those Rules are revoked along with 29 amending Rules. These Rules give effect to amendments made to the Insolvency Act by the Enterprise and Regulatory Reform Act 2011 (c.24), the Deregulation Act 2015 (c.20) and the Small Business, Enterprise and Employment Act 2015 (c.26). PART 7WINDING UP BY THE COURTCHAPTER 8The liquidatorPower of court to set aside certain transactions71If in dealing with the insolvent estate the liquidator enters into any transaction with a person who is an associate of the liquidator, the court may, on the application of any interested person, set the transaction aside and order the liquidator to compensate the company for any loss suffered in consequence of it.2This does not apply if either—athe transaction was entered into with the prior consent of the court; orbit is shown to the court's satisfaction that the transaction was for value, and that it was entered into by the liquidator without knowing, or having any reason to suppose, that the person concerned was an associate.3Nothing in this rule is to be taken as prejudicing the operation of any rule of law or equity relating to a liquidator's dealings with trust property, or the fiduciary obligations of any person.
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<Title>Power of court to set aside certain transactions</Title>
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<Text>If in dealing with the insolvent estate the liquidator enters into any transaction with a person who is an associate of the liquidator, the court may, on the application of any interested person, set the transaction aside and order the liquidator to compensate the company for any loss suffered in consequence of it.</Text>
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<Text>This does not apply if either—</Text>
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<Text>Nothing in this rule is to be taken as prejudicing the operation of any rule of law or equity relating to a liquidator's dealings with trust property, or the fiduciary obligations of any person.</Text>
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