PART 5Application of Insolvency Rules 1986
Table of applications and specific modifications61
This Rule contains the Table of applied provisions of the Insolvency Rules 19868.
Rule | Subject | Specific modifications |
---|---|---|
Preparatory steps | ||
2.27 | Notification and advertisement of administrator’s appointment | In paragraph (1), ignore “and once in such newspaper”. Ignore paragraph (2)(a) and (b). |
2.28 | Notice requiring statement of affairs | |
2.29 | Verification and filing | |
2.30 | Limited disclosure | On an application for disclosure under paragraph (4) any of the following may appear and be heard, or make written representations—
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2.31 | Release from duty to submit statement of affairs; extension of time | On an application under paragraph (2) for release or extension of time any of the following may appear and be heard, or make written representations—
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2.32 | Expenses of statement of affairs | |
Bank administrator’s proposals and creditors’ meetings | ||
2.33 | Administrator’s proposals | Rule 2.33 is not applied – but equivalent provision is made by Part 3 of these Rules. |
2.34 | Meetings to consider administrator’s proposals |
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2.35 | Creditors’ meetings generally | The FSA and the FSCS are added to the list in paragraph (3) of persons to whose convenience the bank administrator is to have regard. |
2.36 | Chairman at meetings | |
2.37 | Meeting requisitioned by creditors | Treat the reference to the administrator’s statement of proposals as a reference to the bank administrator’s statement of proposals in accordance with Rule 29 above. |
2.38 | Entitlement to vote | |
2.39 | Admission and rejection of claims | |
2.40 | Secured creditors | |
2.41 | Holders of negotiable instruments | |
2.42 | Hire-purchase, conditional sale and chattel leasing agreements | |
2.43 | Resolutions | |
2.44 | Minutes | |
2.45 | Revision of the administrator’s proposals | In paragraph (2)(c) ignore the reference to the person making the appointment. |
2.46 | Notice to creditors | |
2.47 | Reports to creditors | Rule 2.47 is not applied – but equivalent provision is made by Part 3 of these Rules. |
2.48 | Correspondence instead of creditors’ meetings | |
2.49 | Venue and conduct of company meeting | |
Creditors’ committee | ||
2.50 | Constitution of committee | (A creditors’ committee cannot be established until the Objective 2 Stage – see the modifications for the application of paragraphs 50 to 58 of Schedule B1 to the Insolvency Act 1986 in Table 1 in section 145 of the Banking Act 2009.) |
2.51 | Formalities of establishment | |
2.52 | Functions and meetings of the committee | |
2.53 | The chairman at meetings | |
2.54 | Quorum | |
2.55 | Committee-members’ representatives | |
2.56 | Resignation | |
2.57 | Termination of membership | |
2.58 | Removal | |
2.59 | Vacancies | |
2.60 | Procedure at meetings | |
2.61 | Resolutions of creditors’ committee by post | |
2.62 | Information from administrator | |
2.63 | Expenses of members | |
2.64 | Members dealing with the company | In respect of any application to set aside a transaction under paragraph (2)—
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2.65 | Formal defects | |
Process of administration | ||
2.66 | Application to court to dispose of charged property | If an application is made during the Objective 1 Stage, then in addition to the requirements of Rule 2.66—
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2.67 | Priority of expenses of administration | In addition to the matters listed in Rule 2.67(1), expenses in connection with provisional bank administration are payable in the following order of priority—
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2.68 | Distributions to creditors: introduction | (Distributions in the case of bank administration following transfer to a bridge bank under section 12(2) of the Banking Act 2009 and during the Objective 1 Stage require the Bank of England’s consent – see the modification for the application of paragraph 65 of Schedule B1 to the Insolvency Act 1986 in Table 1 in section 145 of the Banking Act 2009.) |
2.69 | Debts of insolvent company to rank equally | |
2.70 | Dividends: supplementary | |
2.71 | Division of unsold assets | |
2.72 | Proving a debt | |
2.73 | Claim established by witness statement | |
2.74 | Costs of proving | |
2.75 | Administrator to allow inspection of proofs | |
2.76 | New administrator: transfer of proofs | |
2.77 | Admission and rejection of proofs for dividend | |
2.78 | Appeal against decision on proof | In respect of any application under Rule 2.78(1) or (2)—
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2.79 | Withdrawal or variation of proof | |
2.80 | Expunging of proof by the court | In respect of any application under Rule 2.80(1)(b)—
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2.81 | Estimate of quantum of claims | |
2.82 | Negotiable instruments etc. | |
2.83 | Secured creditors | |
2.84 | Discounts | |
2.85 | Mutual credit and set-off | |
2.86 | Debt in foreign currency | |
2.87 | Periodical payments | |
2.88 | Interest | |
2.89 | Debt payable in future | |
2.90 | Value of security | |
2.91 | Surrender for non-disclosure | |
2.92 | Redemption by administrator | |
2.93 | Test of security’s value | |
2.94 | Realisation of security by creditor | |
2.95 | Notice of proposed distribution | The following are added to the list of those entitled to receive notice under Rule 2.95(2)—
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2.96 | Admission or rejection of proofs | |
2.97 | Declaration of dividend | |
2.98 | Notice of declaration of dividend |
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2.99 | Payment of dividends etc. | |
2.100 | Notice of no dividend or no further dividend | The bank administrator must copy any notice under Rule 2.100 to—
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2.101 | Proof altered after payment of dividend | |
2.102 | Secured creditors | |
2.103 | Disqualification from dividend | In respect of any application for disqualification under Rule 2.103—
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2.104 | Assignment of right to dividend | |
2.105 | Debt payable in future | The “relevant date” is the date of the bank administration order. |
The bank administrator | ||
2.106 | Fixing of remuneration |
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2.107 | Recourse to meeting of creditors | |
2.108 | Recourse to the court |
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2.109 | Creditors’ claim that remuneration is excessive | Rule 2.109 applies only during the Objective 2 Stage. |
4.127B and Schedule 6 | Remuneration where assets realised on behalf of chargeholder | |
Ending administration | ||
2.110 | Final progress report |
|
2.113 | Notice of end of administration | Rule 2.113 is not applied – but equivalent provision is made by Part 3 of these Rules. |
2.114 | Application to court by administrator | The reference to an application to the court under paragraph 79 of Schedule B1 to the Insolvency Act 1986 is to be treated as a reference to a notice under paragraph 80 (as applied by section 153(2) of the Banking Act 2009). |
2.118 | Moving from administration to dissolution | Rule 2.118 is not applied – but equivalent provision is made by Part 3 of these Rules. |
Replacing bank administrator | ||
2.119 | Grounds for resignation | During the Objective 1 Stage the Bank of England’s consent, as well as the court’s permission, is required for resignation under paragraph (2). |
2.120 | Notice of intention to resign | The Bank of England and the FSA are added to the list of those entitled to notice under paragraph (1). |
2.121 | Notice of resignation | |
2.122 | Application to court to remove administrator | (An application may be made during the Objective 1 Stage only with the Bank of England’s consent – see the modifications for the application of paragraph 88 of Schedule B1 to the Insolvency Act 1986 in Table 1 in section 145 of the Banking Act 2009.)
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2.123 | Notice of vacation of office on ceasing to be qualified | |
2.124 | Death of administrator | |
2.125 | Application to replace | Rule 2.125 is applied during the Objective 2 Stage only (and ignoring references to paragraph 95 of Schedule B1). (For equivalent provision about application for removal by the Bank of England during the Objective 1 Stage (in accordance with the modifications for the application of paragraph 91 of Schedule B1 to the Insolvency Act 1986 in Table 1 in section 145 of the Banking Act 2009) see Part 3 of these Rules. |
2.126 | Notification and advertisement of replacement | |
2.127 | Notification and advertisement of appointment of joint administrator | |
2.128 | Notice to registrar of companies of replacement or addition | |
2.129 | Duties on vacating office | |
Provisional bank administrator (see application of section 135 of the Insolvency Act 1986 in Table 2 in section 145 of the Banking Act 2009) | ||
4.25 | Appointment | Rule 4.25 is not applied – but equivalent provision is made by Part 3 of these Rules. |
4.25A | Notice of appointment | Rule 4.25A is not applied – but equivalent provision is made by Part 3 of these Rules. |
4.26 | Order of appointment | Rule 4.26 is not applied – but equivalent provision is made by Part 3 of these Rules. |
4.28 | Security | |
4.29 | Failure to give or keep up security | |
4.30 | Remuneration | Ignore paragraph (4). |
4.31 | Termination of appointment |
|
Disclaimer | ||
4.187 | Notice of disclaimer | (In the case of bank administration following transfer to a bridge bank under section 12(2) of the Banking Act 2009 notice may be given during the Objective 1 Stage only with the Bank of England’s consent – see the modifications for the application of section 178 of the Insolvency Act 1986 in Table 2 in section 145 of the Banking Act 2009.) |
4.188 | Communication to interested persons | |
4.189 | Additional notices | |
4.190 | Duty to keep court informed | |
4.191 | Application by interested party | |
4.192 | Interest in property to be declared on request | |
4.193 | Disclaimer presumed valid and effective | |
4.194 | Application for exercise of court’s powers under section 181 of the Insolvency Act 1986 | (Section 181 is applied by Table 2 in section 145 of the Banking Act 2009.) |
Court procedure and practice | ||
7.1 | Application of Chapter 1 of Part 7 | Chapter 1 does not apply to an application for a bank administration order (which is addressed in Part 2 of these Rules). |
7.2 | Interpretation | |
7.3 | Form and contents of application | |
7.3A | Application to disapply section 176A of the Insolvency Act 1986 | |
7.4 | Filing and service of application | |
7.4A | Notice of application under section 176A of the Insolvency Act 1986 | |
7.5 | Other hearings ex parte | |
7.6 | Hearing of application | |
7.7 | Use of witness statement evidence | |
7.8 | Filing and service of witness statements | |
7.9 | Use of reports | |
7.10 | Adjournment of hearings; directions | |
7.16 | Nomination and appointment of shorthand writers | |
7.17 | Remuneration of shorthand writers | |
7.19 | Enforcement of court orders | |
7.20 | Orders enforcing compliance with Rules | |
7.21 | Warrants | |
7.23 | Warrants under section 236 | |
7.27 | Court records | |
7.28 | Inspection of records | |
7.30 | File of court proceedings | |
7.31 | Right to inspect court file | Rule 7.31 is not applied – but equivalent provision is made in Part 4 of these Rules. |
7.32 | Filing of Gazette notices and advertisements | |
7.33 | Costs: application of the Civil Proceedings Rules | |
7.34 | Requirement to assess costs by the detailed procedure | |
7.35 | Procedure where detailed assessment required | |
7.36 | Costs of execution or other process | |
7.38 | Costs paid otherwise than out of the insolvent estate | |
7.39 | Award of costs against responsible insolvency practitioner | |
7.40 | Application for costs | |
7.41 | Costs and expenses of witnesses | |
7.42 | Final costs certificate | |
7.43 | Persons who lack capacity to manage their affairs: introductory | |
7.44 | Appointment of another person to act | |
7.45 | Witness statement in support of application | |
7.46 | Services of notices following appointment | |
7.47 | Appeals and reviews of court orders | (Rule 7.47 is not applied so as to permit an appeal against the making of a bank administration order.) |
7.49 | Procedure on appeal | |
7.51 | Principal court rules and practice to apply | (The reference to the CPR, the practice and procedure of the High Court and of the county court is to be treated as a reference to the CPR (Part 52).) |
7.53 | Right of attendance | |
7.54 | Insolvency practitioner’s solicitor | |
7.55 | Formal defects | |
7.56 | Restriction on concurrent proceedings and remedies | |
7.58 | Security in court | |
7.59 | Payment into court | |
7.60 | Further information and disclosure | |
7.61 | Office copies of documents | |
Proxies | ||
8.1 | Definition of proxy | |
8.2 | Issue and use of forms | |
8.3 | Use of proxies at meetings | |
8.4 | Retention of proxies | |
8.5 | Right of inspection of proxies | |
8.6 | Proxy-holder with financial interest | |
8.7 | Company representation | (The reference to section 375 of the Companies Act 1985 becomes a reference to section 323 of the Companies Act 2006.) |
Examination of persons | ||
9.1 | Preliminary |
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9.2 | Form and contents of application | |
9.3 | Order for examination | |
9.4 | Procedure for examination | |
9.5 | Record of examination | |
9.6 | Costs of proceedings | |
Declaration and payment of dividend | ||
11.1 | Preliminary | |
11.2 | Notice of intended dividend | |
11.3 | Final admission or rejection of proofs | |
11.4 | Postponement or cancellation of dividend | |
11.5 | Decision to declare dividend | |
11.6 | Notice of declaration | |
11.7 | Notice of no dividend or no further dividend | |
11.8 | Proof altered after payment of dividend | |
11.9 | Secured creditors | |
11.10 | Disqualification from dividend | |
11.11 | Assignment of right to dividend | |
11.12 | Preferential creditors | |
11.13 | Debt payable in future | The “relevant date” is the date of the bank administration order. |
Miscellaneous and general | ||
12.1 | Regulation of specified administrative matters | A reference to the Secretary of State includes a reference to the Treasury. |
12.2 | Costs and expenses | |
12.3 | Provable debts | |
12.4 | Notices | |
12.4A | Quorum at meetings | (The reference to section 375 of the Companies Act 1985 becomes a reference to section 323 of the Companies Act 2006.) |
12.5 | Evidence of proceedings at meeting | |
12.6 | Documents issued by Secretary of State | |
12.8 | Insolvency practitioner’s security | |
12.9 | Time-limits | |
12.10 | Service by post | (Rule 12.10 applies subject to express provision about service made in these Rules.) |
12.11 | Service and notice: general | Part 6 of the CPR applies subject to any provision of these rules. |
12.12 | Service outside jurisdiction | Part 6 of the CPR applies with regard to service in Scotland or Northern Ireland, subject to any provision of these rules. Where service is to take place outside the United Kingdom, where these rules provide for service, the court may direct how that service is to be effect. With regard to service otherwise, Part 6 of the CPR applies. |
12.13 | Confidentiality of documents | |
12.14 | Notices sent simultaneously to same person | |
12.15 | Right to copy documents | |
12.15A | Charge for copy documents | |
12.16 | Non-receipt of notice of meeting | |
12.17 | Right to have list of creditors | |
12.18 | False claim of status as creditor | |
12.20 | Gazette | |
12.21 and Schedule 5 | Punishment of offences | |
12.22 | Notice of order under section 176A of the Insolvency Act 1986 | |
13.1 to 13.13 | Interpretation and application |