Article 3.28 Creditors’ decisions for the nomination of alternative liquidator

Where, under rule 3.8(4)(c) or rule 3.11(1)(f)(iii) the education administrator has proposed that the education administration will end by the further education body entering creditors’ voluntary liquidation, the education administrator must, in the circumstances detailed in paragraph (2), seek a decision from the further education body’s creditors for the purpose of nominating a person other than the person named as the proposed liquidator in the education administrator’s proposals or revised proposals.

The education administrator must seek a decision from the further education body’s creditors where such decision is requested by creditors of the further education body whose debts amount to at least 10 per cent of the total debts of the further education body.

The request for a decision from the further education body’s creditors for the purpose set out in paragraph (1) must be made within 8 days of the date on which the education administrator’s statement of proposals is delivered, or, where revised proposals have been sent out relating to the ending of the education administration by a creditors’ voluntary liquidation, within 8 days from the date on which the revised proposals are delivered.

A request under this rule must include—

but sub-paragraph (a) does not apply if the requesting creditor’s debt is alone sufficient without the concurrence of other creditors.

Where a decision has been requested under this rule, the provisions of rule 15.19, as modified by rule 3.29, of the Insolvency (England and Wales) Rules 2016^f1 apply in relation to the expenses of the decision.

A decision requested under this rule must be reached within 21 days of the education administrator’s receipt of the notice requesting the decision procedure.