The Insolvency (Amendment) Rules 2005

Amendment to Rule 11.13

43.—(1) For paragraph (2) of Rule 11.13 substitute—

“(2) For the purpose of dividend (and no other purpose) the amount of the creditor’s admitted proof (or, if a distribution has previously been made to him, the amount remaining outstanding in respect of his admitted proof) shall be reduced by applying the following formula—

where—

a

“X” is the value of the admitted proof; and

b

“n” is the period beginning with the relevant date and ending with the date on which the payment of the creditor’s debt would otherwise be due expressed in years and months in a decimalised form.

(3) In paragraph (2) “relevant date” means—

(a) in the case of a winding up which was not immediately preceded by an administration, the date that the company went into liquidation;

(b) in the case of a winding up which was immediately preceded by an administration, the date that the company entered administration; and

(c) in the case of a bankruptcy, the date of the bankruptcy order.”.

(2) Omit paragraph (3).