The Insolvency (Northern Ireland) Order 1989

Protection of interests of creditors and members N.I.

39.—(1) At any time when an administration order is in force, a creditor or member of the company may apply to the High Court for an order under this Article on the ground—

(a) that the company's affairs, business and property are being or have been managed by the administrator in a manner which is unfairly prejudicial to the interests of its creditors or members generally, or of some part of its creditors or members (including at least himself), or

(b) that any actual or proposed act or omission of the administrator is or would be so prejudicial.

(2) On an application for an order under this Article the High Court may, subject to paragraphs (3) and (4), make such order as it thinks fit for giving relief in respect of the matters complained of, or adjourn the hearing conditionally or unconditionally, or make an interim order or any other order that it thinks fit.

(3) An order under this Article shall not prejudice or prevent—

(a) the implementation of a voluntary arrangement approved under[F1 Part II], or any compromise or arrangement sanctioned under Article 418 of the Companies Order; or

(b) where the application for the order was made more than 28 days from the approval of any proposals or revised proposals under Article 36 or 37, the implementation of those proposals or revised proposals.

(4) Subject to paragraph (3), an order under this Article may in particular—

(a) regulate the future management by the administrator of the company's affairs, business and property;

(b) require the administrator to refrain from doing or continuing an act complained of by the petitioner, or to do an act which the petitioner has complained he has omitted to do;

(c) require the summoning of a meeting of creditors or members for the purpose of considering such matters as the High Court may direct;

(d) discharge the administration order and make such consequential provision as the Court thinks fit.

(5) Nothing in Article 28 is to be taken as prejudicing applications to the High Court under this Article.

(6) Where the administration order is discharged, the administrator shall, within 14 days from the making of the order effecting the discharge, send an office copy of that order to the registrar; and if without reasonable excuse he contravenes this paragraph, he shall be guilty of an offence and, for continued contravention, he shall be guilty of a continuing offence.

F1 2002 NI 6