SCHEDULE B1 ADMINISTRATION
FUNCTIONS OF ADMINISTRATOR
Protection for secured or preferential creditor
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(1)
An administrator’s statement of proposals under paragraph 49 may not include any action which—
(a)
affects the right of a secured creditor of the company to enforce his security,
(b)
would result in a preferential debt of the company being paid otherwise than in priority to its non-preferential debts, or
(c)
would result in one preferential creditor of the company being paid a smaller proportion of his debt than another.
(2)
Sub-paragraph (1) does not apply to—
(a)
action to which the relevant creditor consents,
(b)
a proposal for a voluntary arrangement under Part I of this Act (although this sub-paragraph is without prejudice to section 4(3)), F1. . .
(c)
a proposal for a compromise or arrangement to be sanctioned under section 425 of the Companies Act (compromise with creditors or members).F2 or
(d)
a proposal for a cross-border merger within the meaning of regulation 2 of the Companies (Cross-Border Mergers) Regulations 2007.
(3)
The reference to a statement of proposals in sub-paragraph (1) includes a reference to a statement as revised or modified.