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  • PART 10: PART 10: Insolvency Practitioners

    • Article 184 - Restrictions on service as Administrator, Supervisor or Liquidator

      (1) No person may be appointed as or serve as an Administrator (including a provisionally appointed Administrator), Supervisor or Liquidator or provisional Liquidator of a Company under these Regulations or any other Regulations unless he is registered as an insolvency practitioner under this Part.
      (2) No QFC Entity may be appointed as or serve as an Administrator (including a provisionally appointed Administrator), Supervisor or Liquidator or provisional Liquidator of a Company under these Regulations or any other Regulations unless it is licensed to carry on the professional services of an insolvency practitioner in or from the QFC in accordance with Paragraph 13 of Schedule 3 to the QFC Law.
      (3) Without limiting the generality of Article 184(1) or (2), no insolvency practitioner may be appointed by the QFC Court as:
      (A) Liquidator under Article 83(1) of these Regulations; or
      (B) provisional Liquidator under Article 84 of these Regulations
      unless he is further registered as an official Liquidator under this Part.
      (4) The registration of an insolvency practitioner as an official Liquidator constitutes an acknowledgement by that insolvency practitioner that he will accept any appointment made by the QFC Court as a Liquidator or provisional Liquidator to a Company in accordance with the provisions of any rules of procedure as may be made by the QFC Court.

    • Article 185 - Qualification and registration of insolvency practitioners

      (1) In these Regulations, unless expressed otherwise, a reference to:
      (A) an insolvency practitioner is a reference to an insolvency practitioner who is registered under these Regulations; and
      (B) an official Liquidator is a reference to an official Liquidator who is registered under these Regulations.
      (2) An insolvency practitioner may only be registered under these Regulations if the insolvency practitioner meets the criteria for registration set out in rules made by the QFC Authority.
      (3) The CRO may in his absolute discretion refuse to grant an application for registration.
      (4) The CRO may cancel the registration of an insolvency practitioner or of an official Liquidator on that person's request or as otherwise provided under these Regulations.

    • Article 186 - Register of insolvency practitioners and official Liquidators

      (1) The CRO shall publish and maintain registers of current and past registrations of insolvency practitioners and official Liquidators in such manner as may be prescribed in rules made by the QFC Authority.
      (2) The CRO shall make a reasonably current version of any registers maintained under this Article freely available for viewing by the public during the normal business hours of the CRO.

    • Article 187 - Obligation of disclosure to the CRO

      (1) Subject to Article 187(2), an insolvency practitioner appointed to a Company shall disclose to the CRO any matter which reasonably tends to show one of the following:
      (A) a breach, or likely breach of a provision of these Regulations;
      (B) a failure, or likely failure, to comply with any obligation to which a person is subject under these Regulations; or
      (C) any other matter as the QFC Authority may prescribe in rules
      which may be attributable to the conduct of the relevant Company or of its officers, employees or agents.
      (2) Article 187(1) shall not apply to the extent that compliance with such requirement would disclose a communication arising from the provision of professional legal advice.
      (3) Any provision in an agreement between a Company and an officer, employee, agent or insolvency practitioner is void in so far as it purports to hinder any person from causing or assisting an insolvency practitioner to comply with an obligation under Article 187(1).
      (4) No person shall be subjected to detriment or loss or damage merely by reason of undertaking any act to cause or assist an insolvency practitioner to comply with an obligation under Article 187(1).
      (5) The QFC Court may, on application of an aggrieved person, make any order for relief where the person has been subjected to any such detriment or loss or damage referred to in Article 187(4).
      (6) Without limiting the application of any other provision of these Regulations, an insolvency practitioner does not contravene any duty to which he is subject merely because he gives to the CRO:
      (A) a notification as required under this Article; or
      (B) any other information or opinion in relation to any such matter
      if the insolvency practitioner is acting in good faith and reasonably believes that the notification, information or opinion is relevant to any functions of the CRO.

    • Article 188 - Supervision of insolvency practitioners

      (1) The QFC Court may, on application of the CRO, and upon being satisfied that an insolvency practitioner:
      (A) has contravened a provision of these Regulations;
      (B) has failed, whether within or outside the QFC, to carry out or perform duties or functions adequately or properly; or
      (C) is otherwise not a fit and proper person to remain registered as an insolvency practitioner or, where applicable, as an official Liquidator;
      make one or more of the following orders:
      (D) an order that the CRO shall cancel, or suspend for a specified period, the registration of the insolvency practitioner as such or as an official Liquidator, along with such order or orders as the QFC Court shall see fit for the orderly handover of existing appointments of such insolvency practitioner;
      (E) an order imposing conditions or restrictions on the future conduct of the insolvency practitioner;
      (F) an order requiring the insolvency practitioner to do, or refrain from doing, any act or thing; or
      (G) any other order as the QFC Court sees fit.
      (2) For the avoidance of doubt:
      (A) any cancellation or suspension of the registration of a person as an insolvency practitioner is deemed to constitute a cancellation or suspension of any registration of the person as an official Liquidator; and
      (B) the imposition of any condition or restriction on the future conduct of an insolvency practitioner is deemed, as the context may permit, to constitute the imposition of such a condition or restriction on the future conduct of the insolvency practitioner acting in his capacity as an official Liquidator.
      (3) Nothing in this Article affects the powers that any person or the QFC Court may have apart from this Article.

    • Article 189 - Conflicts of interest

      An insolvency practitioner shall not act as an Administrator (including a provisionally appointed Administrator), Supervisor, Liquidator or provisional Liquidator of the Company where he has had a material professional relationship with the Company in the previous three years.