The Insolvency (Scotland) (Company Voluntary Arrangements and Administration) (Amendment) Rules 2021

Amendment of Part 5 of the Insolvency Rules

41.—(1) Rule 5.28 (calculation of voting rights) is amended as follows.

(2) Before paragraph (1)(a) insert—

“(za) in a decision procedure in respect of a moratorium under Part A1 of the Act, as at the decision date;”.

(3) In paragraph (1)(b)—

(a) for sub-paragraph (iii) substitute—

“(iii) where (i) and (ii) do not apply, at the decision date;”; and

(b) omit sub-paragraph (iv).

(4) In paragraph (3), before “a proposed CVA” insert “a decision procedure in respect of a moratorium under Part A1 of the Act, or”.

(5) For paragraph (6) substitute—

“(6) The value of the debt for voting purposes is its full value without deduction of the value of the security in the following cases—

(a) where, in respect of a moratorium under Part A1 of the Act, there is a decision of pre-moratorium creditors on whether to extend or further extend that moratorium under section A11; and

(b) where the administrator has made a statement under paragraph 52(1)(b) of Schedule B1 and the administrator has been requested to seek a decision under paragraph 52(2) of that Schedule.”.