Explanatory note

This Order amends article 7 of the Insolvent Partnerships Order 1994 (S.I. 1994/2421) (“the Order”) with effect from 14th June 1996. The Order provides a code for the winding up of insolvent partnerships.

The amendment to article 7 of the Order (which provides for the winding up of an insolvent partnership as an unregistered company on the petition of a creditor, of a responsible insolvency practitioner or of the Secretary of State where no concurrent petition is presented against a member) extends the list of petitioners to include any other person other than a member. This will include the Bank of England and the Securities and Investments Board who are entitled under the Banking Act 1987 (c. 22) and the Financial Services Act 1986 (c. 60) respectively to present a petition for the winding up of an insolvent partnership.