Co-operative and Community Benefit Societies Act 2014

CHAPTER 3 E+W+S Receiver or manager of society's property

65 English and Welsh societies: restriction on appointment of administrative receiver E+W+S

(1) The holder of a qualifying floating charge in respect of the property of a relevant society whose registered office is situated in England and Wales may not appoint an administrative receiver of the society.

(2) This section applies to a floating charge which is created by a relevant society on or after 6th April 2014 and is either—

(a) a charge in respect of which an application under section 59 has been made; or

(b) a charge created by a debenture registered under section 9 of the Agricultural Credits Act 1928 as applied by section 14 of that Act.

(3) This section applies in spite of any provision of an agreement or instrument which purports to empower a person to appoint an administrative receiver (by whatever name).

(4) In this section—

• “administrative receiver”, in relation to a relevant society, means—

  (a)

  a receiver or manager of the whole (or substantially the whole) of the society's property appointed by or on behalf of the holder of a floating charge, or by such a charge and one or more other securities, or

  (b)

  a person who would be such a receiver or manager but for the appointment of some other person as the receiver of part of the society's property;

• “holder of a qualifying floating charge in respect of the property of a relevant society” has the meaning given in paragraph 14 of Schedule B1 to the Insolvency Act 1986 as applied in relation to a relevant society by an order under section 118;

• “relevant society” means a registered society which is not—

  (a)

  a private registered provider of social housing; or

  (b)

  registered as a social landlord under Part 1 of the Housing Act 1996 or under Part 2 of the Housing (Scotland) Act 2010.

66 Duty to account etc of receiver or manager of a society's property E+W+S

(1) This section applies to a receiver or manager of a registered society's property who has been appointed under the powers contained in any instrument.

(2) The receiver or manager must—

(a) within one month from the date of appointment, notify the FCA of the appointment;

(b) within one month (or such longer period as the FCA may allow) after the end of each relevant period, deliver to the FCA a return showing receipts and payments in that relevant period;

(c) within one month after ceasing to act as receiver or manager, deliver to the FCA a return showing—

(i) receipts and payments in the final period, and

(ii) the total amount of payments and receipts in all preceding relevant periods.

References here to receipts and payments are to receipts and payments of the receiver or manager.

(3) For the purposes of subsection (2) the relevant periods are—

(a) the period of 6 months beginning with the date of appointment, and

(b) each subsequent period of 6 months for which the person is receiver or manager.

(4) If the society is a PRA-authorised person—

(a) the receiver or manager must send to the PRA a copy of any notification or return sent under subsection (2) to the FCA;

(b) the FCA must consult the PRA before allowing a period of more than one month under subsection (2)(b).