Insolvency Regulations 2005

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QFC Reg No 5 – Insolvency Regulations
Enactment Notice
PART 1:
Application, Commencement and Interpretation
Article 1 - Citation
Article 2 - Application
Article 3 - Commencement
Article 4 - Language
Article 5 - Interpretation
PART 2:
Administration
Section 1: Purpose of Administration
Article 6 - Administrators
Article 7 - Purposes of administration
Section 2: Application for, and making of, the Administration Order
Article 8 - Administration Order
Article 9 - Application for order
Article 10 - Witness statement to support application
Article 11 - Independent report on Company's affairs
Article 12 - Contents of witness statement
Article 13 - Form of application
Article 14 - Filing of application
Article 15 - Service of application
Article 16 - Manner in which service to be effected
Article 17 - Proof of service
Article 18 - The hearing
Article 19 - Notice and advertisement of Administration Order
Section 3: Appointment by Secured Creditor
Article 20 - Appointment by Secured Creditor
Article 21 - Notice of appointment
Article 22 - Appointment out of QFC Court business hours
Section 4: Appointment by Company or Directors
Article 23 - Appointment of Administrator by a Company or its Directors
Article 24 - Notice of intention to appoint
Article 25 - Notice of appointment
Section 5: Effect of Application and Appointment
Article 26 - Effect of application: interim moratorium
Article 27 - Effect of appointment
Article 28 - Notification of administration
Article 29 - Joint and concurrent Administrators
Article 30 - Appointment of Administrators
Article 31 - General powers
Article 32 - Power to deal with property subject to a Security Interest, etc.
Article 33 - General duties
Article 34 - Court application by Administrator to discharge administration
Article 35 - Vacation of office
Article 36 - Release of Administrator
Section 6: Ascertainment and Investigation of Company's Affairs
Article 37 - Information to be given by Administrator
Article 38 - Statement of affairs to be submitted to Administrator
Section 7: Administrator's Proposals
Article 39 - Statement of proposals
Article 40 - Consideration of proposals by creditors' meeting
Article 41 - Meeting to consider Administrator's proposals
Article 42 - Approval of substantial revisions
Article 43 - Creditors' Committee
Article 44 - Protection of interests of creditors and members
Article 45 - Statement to be annexed to proposals
Article 46 - Reports and notices under Articles 40 and 42
Article 47 - Notice to creditors
Article 48 - Duration and extension of administration
Article 49 - Moving from administration to creditors' voluntary Liquidation
Article 50 - Moving from administration to dissolution
Section 8: Company Arrangements
Article 51 - Company Arrangements
Article 52 - Summoning of meetings
Article 53 - Decisions of meetings
Article 54 - Effect of approval
Article 55 - Implementation of proposal
PART 3:
Winding Up
Section 1: General
Article 56 - Alternative modes of winding up
Article 57 - Powers of Liquidator
Section 2: Voluntary Winding Up
Article 58 - Circumstances in which a company may be wound up voluntarily
Article 59 - Notice of resolution to wind up
Article 60 - Commencement of winding up
Article 61 - Effect on business and status of Company
Article 62 - Avoidance of share transfers and membership changes after winding up resolution
Article 63 - Declaration of solvency
Article 64 - Distinction between 'Members' and 'Creditors' Voluntary Winding Up
Section 2A: Members' Voluntary Winding Up
Article 64A - Application of this section
Article 65 - Appointment of Liquidator
Article 66 - General Company meeting at each year's end
Article 67 - Final meeting prior to dissolution
Article 68 - Effect of Company's Insolvency
Article 69 - Conversion to Creditors' Voluntary Winding Up
Section 3: Creditors' Voluntary Winding Up
Article 70 - Application of this Section
Article 71 - Meeting of creditors
Article 72 - Appointment of Creditors' Committee
Article 73 - Directors' powers
Article 74 - Vacancy in office of Liquidator
Article 75 - Progress report to the Company and creditors' at year's end
Article 76 - Final meeting prior to dissolution
Section 4: Compulsory Winding Up
Article 77 - Circumstances in which Company may be wound up by the QFC Court
Article 78 - Definition of inability to pay debts
Article 79 - Application for winding up
Article 80 - Application for winding up on grounds of interests to the QFC
Article 81 - Voiding of property dispositions and alteration of membership
Article 82 - Consequences of winding-up order
Article 83 - Choice of Liquidator at meetings of creditors and contributories
Article 83A - Directors' powers
Article 84 - Appointment of provisional Liquidator
Article 85 - Creditors Committee
Article 86 - Power to stay winding up
PART 4:
Provisions Applying to Liquidations Generally
Section 1: General Provisions
Article 87 - Commencement of winding up
Article 88 - General functions of the Liquidator in winding up by the QFC Court
Article 89 - Appointment or removal of Liquidator by the QFC Court
Article 90 - Power to exclude creditors not proving in time
Article 91 - Distribution of Company's property and priority of payments in a winding up
Article 92 - Power to disclaim onerous property
Article 93 - Notification that Company is in Liquidation
Article 94 - [Deleted]
Article 95 - Reference of questions to the QFC Court
Article 96 - Dissolution and early dissolution
Article 97 - Fraud in anticipation of winding up
Article 97A - Misconduct in the course of winding up
Article 98 - Transactions in fraud of creditors
Article 99 - Falsification of Company's books
Article 100 - Material omissions from statement relating to Company's affairs
Article 101 - False representations to creditors
Article 102 - Fraudulent trading
Article 103 - Wrongful trading
Article 104 - Shadow Directors
Article 105 - Summary remedy against delinquent directors, Liquidators, etc.
Article 106 - Restriction on re-use of Company names
Article 107 - Mutual credit and set-off
Article 108 - Remuneration of Liquidators
Article 109 - Company Arrangement in Liquidation
Article 109A - Release of Liquidators
PART 5:
Provisions Relating to Administration, Liquidations and Company Arrangements
Section 1: Application to Officeholders
Article 110 - Scope of this Part
Section 2: Creditors' and Company Meetings
Article 111 - Creditors' meetings generally
Article 112 - The chairman at meetings
Article 113 - Entitlement to vote
Article 114 - Admisssion and rejection of claims
Article 115 - Secured Creditors
Article 116 - Retention of title creditors
Article 117 - Hire-purchase, conditional sale and leasing agreements
Article 118 - Resolutions and minutes
Article 119 - Creditors' meetings conducted by correspondence
Article 120 - Venue and conduct of Company meetings
Section 3: The Creditors' Committee
Article 121 - Constitution of committee
Article 122 - Formalities of establishment
Article 123 - Functions and meetings of the committee
Article 124 - The chairman at meetings
Article 125 - Quorum
Article 126 - Committee-members' representatives
Article 127 - Resignation
Article 128 - Termination of membership
Article 129 - Removal
Article 130 - Vacancies
Article 131 - Procedure at meetings
Article 132 - Resolutions by post
Article 133 - Expenses of members
Article 134 - Formal defects
Section 4: The Officeholder
Article 135 - Fixing of remuneration
Article 136 - Recourse to meeting of creditors
Article 137 - Recourse to the QFC Court
Article 138 - Creditors' claim that remuneration is excessive
Article 139 - Abstract of receipts and payments
Article 140 - Resignation
Article 141 - Offficeholder deceased
Article 141A - Misfeasance
Section 5: Antecedent Transactions
Article 142 - Transactions at an undervalue
Article 143 - Preferences
Article 144 - Relevant time under Articles 142 and 143
Article 145 - Invalid security interests
Section 6: Cooperation with Officeholder
Article 146 - Getting in the Company's property
Article 147 - Duty to co-operate with officeholder
Article 147A - Inquiry into Company's dealings
Section 7: Miscellaneous
Article 148 - Preferential Debts
Article 149 - QFC Court rules and practice to apply
Section 8: Proof of Debts
Article 149A - Proving a debt
Article 149B - Cost of proving
Article 149C - Officeholder to allow inspections of proofs
Article 149D - Admission and rejection of proofs for dividend
Article 149E - Appeal against decision on proof
Article 149F - Withdrawal or variation of proof
Article 149G - Expunging of proof by the QFC Court
Section 9: Declaration and Payment of Dividends
Article 149H - Notice of proposed dividend
Article 149I - Declaration of dividend
Article 149J - Notice of declaration of a dividend
Article 149K - Payment of dividend
Article 149L - Notice of no, or no further, dividend
PART 6:
Proceedings in Respect of non-QFC Companies
Section 1: Introduction
Article 150 - Scope of Application
Article 151 - Definitions
Article 152 - International obligations of this State
Article 153 - Competent QFC Court
Article 154 - Authorisation of Administrator, Supervisor or Liquidator to act outside the QFC
Article 155 - Public policy exception
Article 156 - Additional assistance under other laws
Article 157 - Interpretation
Section 2: Access of non-QFC Representatives and Creditors to QFC Court
Article 158 - Right of direct access
Article 159 - Limited jurisdiction
Article 160 - Application by a non-QFC representative to commence a proceeding under these Regulations
Article 161 - Participation of a non-QFC representative in a proceeding under these Regulations
Article 162 - Access of non-QFC creditors to a proceeding under these Regulations
Section 3: Recognition of a non-QFC Proceeding and Relief
Article 163 - Application for recognition of a non-QFC proceeding
Article 164 - Presumptions concerning recognition
Article 165 - Decision to recognise a non-QFC proceeding
Article 166 - Subsequent information
Article 167 - Relief that may be granted upon application for recognition of a non-QFC proceeding
Article 168 - Relief that may be granted upon recognition of a non-QFC proceeding
Article 169 - Protection of creditors and other interested persons
Article 170 - Actions to avoid acts detrimental to creditors
Article 171 - Intervention by a non-QFC representative in proceedings in the QFC
Section 4: Cooperation with Courts and non-QFC Representatives
Article 172 - Cooperation and direct communication between the QFC Court and courts or non-QFC representatives
Article 173 - Cooperation and direct communication between the Administrator or Liquidator and courts of non-QFC representatives
Article 174 - Forms of cooperation
Section 5: Concurrent Proceedings
Article 175 - Commencement of a proceeding under these Regulations after recognition of a non-QFC main proceeding
Article 176 - Coordination of a proceeding under these Regulations and a non-QFC proceeding
Article 177 - Coordination of more than one non-QFC proceeding
Article 178 - Presumption of insolvency based on recognition of a non-QFC proceeding
Article 179 - Rule of payment in concurrent proceedings
PART 7:
Branches
Article 180 - Application of these Regulations in relation to Branches
Article 181 - Administration and winding up of Branches
PART 8:
Other types of Company
Article 182 - Application of the QFC Law to other types of Company
PART 9:
Application of the Law to Limited Liability Partnerships
Article 183 - Application to Limited Liability Partnerships
PART 10:
Insolvency Practitioners
Article 184 - Restrictions on service as Administrator, Supervisor of Liquidator
Article 185 - Qualification and registration of insolvency practitioners
Article 186 - Register of insolvency practitioners and official Liquidators
Article 187 - Obligation of disclosure to the CRO
Article 188 - Supervision of insolvency practitioners
Article 189 - Conflicts of interest
PART 11:
Miscellaneous
Article 190 - Application of other laws in relation to winding up
Article 191 - Power of the QFC Court to declare dissolution of Company void
Article 192 - Proceedings against re-instated companies
Article 193 - Contraventions and administrative notice of financial penalty
PART 12:
Financial Markets and Insolvency
Article 194 - Introduction
Article 195 - Market contracts
Article 196 - Modification of the law of insolvency
Article 197 - Proceedings of exchange or clearing house take precedence over insolvency procedures
Article 198 - Duty to report on completion of default proceedings
Article 199 - Net sum payable on completion of default proceedings
Article 200 - Disclaimer of property
Article 201 - Adjustment of prior transactions
Article 202 - Powers of the QFC Authority to give directions
Article 203 - Application to determine whether default proceedings to be taken
Article 204 - Market charges
Article 205 - Modifications of the law of insolvency
Article 206 - Administration
Article 207 - Appliation of margin not affected by certain other interests
Article 208 - Proceedings against market property by unsecured creditors
Article 209 - Right of use under a security financial collateral Arrangement
Article 210 - Standard test regarding the applicable law to book entry securities financial collateral arangements
Article 211 - Officeholders
PART 13:
Interpretation and Definitions
Article 212 - Interpretation
Article 213 - Definitions
SCHEDULE 1:
Powers of Liquidator and Administrator
SCHEDULE 2:
Form of Proxy