Article 3.8 Education administrator’s proposals - additional content

(1)

The education administrator’s statement of proposals made under paragraph 49 of Schedule B1^f1 must identify the proceedings and, in addition to the matters set out in paragraph 49, contain—

(a)

any other trading names of the further education body;

(b)

details of the education administrator’s appointment, including—

(i)

the date of the appointment, and

(ii)

the person who made the application for the appointment;

(c)

the names of the relevant officers of the further education body and details of any interest in the further education body they may have;

(d)

an account of the circumstances giving rise to the appointment of the education administrator;

(e)

the date on which the proposals were sent to the creditors;

(f)

if a statement of the further education body’s affairs has been submitted—

(i)

a copy or summary of it, except so far as an order under rule 3.31 or 3.32 limits disclosure of it, and excluding any schedule referred to in rule 3.3(5), or the particulars relating to individual creditors contained in any such schedule,

(ii)

details of who provided the statement of affairs, and

(iii)

any comments which the education administrator may have on the statement of affairs;

(g)

if an order under rule 3.31 or 3.32 has been made—

(i)

a statement of that fact, and

(ii)

the date of the order;

(h)

if no statement of affairs has been submitted—

(i)

details of the financial position of the further education body at the latest practicable date (which must, unless the court otherwise orders, be a date not earlier than that on which the further education body entered into education administration), and

(ii)

an explanation as to why there is no statement of affairs;

(i)

a full list of the further education body’s creditors if either—

(i)

no statement of affairs has been submitted, or

(ii)

a statement of affairs has been submitted but does not include such a list, or the education administrator believes the list included is less than full;

(j)

a statement (which must comply with paragraph (4) of this rule where that paragraph applies) of how it is envisaged that the purpose of the education administration will be achieved and how it is proposed that the education administration will end;

(k)

the manner in which the affairs and business of the further education body—

(i)

have, since the date of the education administrator’s appointment, been managed and financed, including, where any assets have been disposed of, the reasons for the disposals and the terms upon which the disposals were made, and

(ii)

will continue to be managed and financed.

(2)

The list of creditors required by paragraph (1)(i) must contain the details set out in paragraph (3) except where paragraphs (5) and (6) apply.

(3)

The particulars required by paragraph (2) are as follows and must be given in this order—

(a)

the name and postal address of each creditor;

(b)

the amount of the debt owed to the creditor;

(c)

details of any security held by the creditor;

(d)

the date on which any such security was given; and

(e)

the value of any such security.

(4)

This paragraph applies where it is proposed that the education administration will end by the further education body moving to a creditors’ voluntary liquidation, and, in that case, the statement required by paragraph (1)(j) of this rule must include—

(a)

details of the proposed liquidator;

(b)

where applicable, the declaration required by section 231 of the Act; and

(c)

a statement that creditors may nominate a different person as liquidator in accordance with paragraph 83(7)(a) of Schedule B1 and rule 3.40(6).

(5)

This paragraph applies where the particulars required by paragraph (3) relate to creditors who are either—

(a)

employees or former employees of the further education body; or

(b)

consumers claiming amounts paid in advance for the supply of goods or services.

(6)

Where paragraph (5) applies—

(a)

the list of creditors required by paragraph (1)(i) must state separately for each of paragraphs (5)(a) and (b) the number of creditors and the total of the debt owed to them; and

(b)

the particulars required by paragraph (3) in respect of such creditors must be set out in separate schedules to the list of creditors for each of paragraphs (5)(a) and (b); and

(c)

the education administrator must not deliver any such schedule to the registrar of companies with the statement of proposals.

(7)

The statement made by the education administrator must also include—

(a)

to the best of the education administrator’s knowledge and belief, an estimate of the value of—

(i)

the prescribed part (whether or not the education administrator might be required under section 176A to make the prescribed part available for the satisfaction of unsecured debts), and

(ii)

the further education body’s net property (as defined by section 176A(6)); and

(b)

a statement whether the education administrator proposes to make an application to the court under section 176A(5) and, if so, the reason for the application.

(8)

The education administrator may exclude from an estimate under paragraph (7)(a) information the disclosure of which could seriously prejudice the commercial interests of the further education body.

(9)

If the exclusion of such information affects the calculation of an estimate, the report must say so.

(10)

Where applicable, the statement of proposals must also include—

(a)

a statement of any pre-administration costs charged or incurred by the education administrator or, to the education administrator’s knowledge, by any other person qualified to act as an insolvency practitioner;

(b)

a statement that the payment of any unpaid pre-administration costs as an expense of the education administration is subject to approval by the court under rule 6.11.

Annotations

Footnotes

f1: Paragraph 49(4) is amended by paragraph 10(2) of Schedule 9 to the Small Business, Enterprise and Employment Act 2015 (c. 26).