Paragraph 16 Ending of special administration (bank administration) (dissolution or voluntary arrangement

(1)

This section applies if—

(a)

the Bank of England has given an Objective A Achievement Notice;

(b)

the administrator believes that Objectives 1 and 2 have been sufficiently achieved; and

(c)

the administrator pursues the second part of Objective 3 (as set out in regulation 10(1)(c)(ii)).

(2)

The administrator may—

(a)

give a notice under paragraph 84 of Schedule B1 (as applied by regulation 15); or

(b)

make a proposal in accordance with Part 1 of the Insolvency Act (company voluntary arrangement).

(3)

Part 1 of the Insolvency Act shall apply to a proposal made by an administrator with the following modifications—

(a)

in section 3 (summoning of meetings), subsection (2) (and not (1)) applies;

(b)

the action that may be taken by a court under section 5(3) (effect of approval) includes suspension of the special administration order; and

(c)

on the termination of a company voluntary arrangement the administrator may apply to the court to lift the suspension of the special administration order.