31(1)Schedule B1 (administration) is amended as follows.U.K.
(2)Omit paragraph 24.
(3)Before paragraph 65 (but after the italic heading “Distribution”) insert—
“64A(1)This paragraph applies where a company enters administration before the end of the period of 12 weeks beginning with the day after the end of any moratorium for the company under Part A1.
(2)The administrator must make a distribution to the creditors of the company in respect of—
(a)moratorium debts (within the meaning given by section 174A), and
(b)priority pre-moratorium debts (within the meaning given by section 174A).
(3)A sum payable under sub-paragraph (2) is to be paid in priority to—
(a)any security to which paragraph 70 applies or paragraph 115(1) applies;
(b)any sums payable under paragraph 99.
(4)The administrator must realise any property necessary to comply with sub-paragraph (2).
(5)The rules may make provision as to the order in which the moratorium and priority pre-moratorium debts rank among themselves for the purposes of this paragraph in a case where the assets of the company are insufficient to meet them in full.”
(4)In paragraph 65, for sub-paragraph (1) substitute—
“(1)If the assets of a company are sufficient to meet any debts or other liabilities payable under paragraph 64A in full, the administrator of the company may make a distribution to any other creditor of the company.”
(5)In paragraph 66, for “The administrator of a company” substitute “ If the debts and other liabilities payable under paragraph 64A have been met, the administrator of a company ”.