SCHEDULES
F1SCHEDULE 1AEXCEPTIONS TO PROHIBITION ON APPOINTMENT OF ADMINISTRATIVE RECEIVER: SUPPLEMENTARY PROVISIONS
Capital market arrangement
1
1
For the purposes of Article 59B an arrangement is a capital market arrangement if—
a
it involves a grant of security to a person holding it as trustee for a person who holds a capital market investment issued by a party to the arrangement, or
b
it involves a grant of security to—
i
a party to the arrangement who issues a capital market investment, or
ii
a person who holds the security as trustee for a party to the arrangement in connection with the issue of a capital market investment, or
c
it involves a grant of security to a person who holds the security as trustee for a party to the arrangement who agrees to provide finance to another party, or
d
at least one party guarantees the performance of obligations of another party, or
e
at least one party provides security in respect of the performance of obligations of another party, or
f
the arrangement involves an investment of a kind described in articles 83 to 85 of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 (S.I. 2001/544) (options, futures and contracts for differences).
2
For the purposes of sub-paragraph (1)—
a
a reference to holding as trustee includes a reference to holding as nominee or agent,
b
a reference to holding for a person who holds a capital market investment includes a reference to holding for a number of persons at least one of whom holds a capital market investment, and
c
a person holds a capital market investment if he has a legal or beneficial interest in it; and
d
the reference to the provision of finance includes the provision of an indemnity.
3
In Article 59B(1) and this paragraph “party” to an arrangement includes a party to an agreement which—
a
forms part of the arrangement,
b
provides for the raising of finance as part of the arrangement, or
c
is necessary for the purposes of implementing the arrangement.
Sch. 1A inserted (27.3.2006) by Insolvency (Northern Ireland) Order 2005 (S.I. 2005/1455 (N.I. 10)), arts. 1(3), 5(2), Sch. 3 (with art. 4); S.R. 2006/21, art. 2 (with S.R. 2006/22, arts. 2 - 7)