OpenLegislation

The Investment Bank Special Administration (Scotland) Rules 2011

S.I. 2011/2262 · Made 12 September 2011

Original text. legislation.gov.uk does not revise statutory instruments, so later amendments are not shown here. Changes made to it are listed under each provision when known.

Financial Services And Markets

Insolvency, Scotland

Made 12th September 2011

Laid before Parliament 13th September 2011

Coming into force 14th November 2011

The Treasury, in exercise of the powers conferred by section 411(1A)(b), (2), (2C) and (3) of the Insolvency Act 1986f1, as applied by the Investment Bank Special Administration Regulations 2011f2, make the following Rules:

Annotations to the whole text

Footnotes

f1

1986 c.45: section 411 is applied with modifications by regulation 15 of S.I. 2011/245; subsections (1A) and (2C) were inserted by and subsections (2) and (3) amended by sections 125 and 160 of the Banking Act 2009 (c.1); subsection (2) was also amended by S.I. 2009/1941 and subsection (3) was also amended by S.I. 2007/2194.

f2

S.I. 2011/245.

Contents

  1. Part 1: Introductory Provisions
  2. 1Citation
  3. 2Commencement
  4. 3Extent
  5. 4Interpretation
  6. 5Application of Rules
  7. Part 2: Application for Order
  8. Chapter 1: Application for special administration order
  9. 6Content of application
  10. 7Statement of proposed administrator
  11. 8Lodging of application
  12. 9Service of application
  13. 10Expenses
  14. 11Notice of special administration order
  15. Chapter 2: Application for a special administration (bank insolvency) order
  16. 12Application for a special administration (bank insolvency) order
  17. 13Persons entitled to copy of application
  18. 14Appointment of administrator by the court
  19. 15Authentication of the administrator’s appointment
  20. 16Duties of Objective A committee
  21. 17Appointment of person under section 135 of the 1986 Act
  22. 18Order of appointment
  23. 19Caution
  24. 20Failure to find or maintain caution
  25. 21Remuneration
  26. 22Termination of appointment
  27. Chapter 3: Application for a special administration (bank administration) order
  28. 23Application for a special administration (bank administration) order
  29. 24Statement of proposed administrator
  30. 25Lodging
  31. 26Service
  32. 27Expenses
  33. 28Notice of order
  34. 29Remuneration of the administrator
  35. 30Appointment of person under section 135 of the 1986 Act
  36. 31Order of appointment
  37. Part 3: Process of Special Administration
  38. Chapter 1: Notice of appointment and statement of affairs
  39. 32Notification and advertisement of administrator’s appointment
  40. 33Notice requiring statement of affairs
  41. 34Details of the client assets held by the investment bank
  42. 35Statements of affairs and statements of concurrence
  43. 36Limited disclosure
  44. 37Release from duty to submit statement of affairs
  45. 38Expenses of statement of affairs
  46. Chapter 2: Statement of proposals
  47. 39Statement of proposals
  48. Chapter 3: Initial meeting to consider proposals
  49. 40Initial meeting
  50. 41Notice to officers
  51. 42Business of the initial meeting
  52. 43Adjournment of meeting to approve the statement of proposals
  53. 44Revision of the statement of proposals
  54. 45Meeting to approve the revised statement of proposals
  55. 46Notice to creditors and clients
  56. Chapter 4: Meetings generally
  57. 47Meetings generally
  58. 48Venue
  59. 49Notice of meeting by individual notice: when and where sent
  60. 50Notice of meeting by individual notice: content and accompanying documents
  61. 51Notice of meeting by advertisement only
  62. 52Content of notice for meetings
  63. 53Advertisement of meetings
  64. 54Non-receipt of notice of meeting
  65. 55Requisition of meetings
  66. 56Expenses of requisitioned meetings
  67. 57Quorum at meetings
  68. 58Chair at meetings
  69. 59Adjournment by chair
  70. 60Adjournment in absence of chair
  71. 61Claims, proofs and proxies in adjournment
  72. 62Suspension
  73. 63Venue and conduct of company meetings
  74. Chapter 5: Entitlement to vote at meetings
  75. 64Entitlement to vote (creditors)
  76. 65FSCS and voting rights
  77. 66Calculation of voting rights (creditors)
  78. 67Calculation of voting rights: special cases (creditors)
  79. 68Entitlement to vote (clients)
  80. 69Calculation of voting rights (clients)
  81. 70Procedure for admitting clients’ claims for voting
  82. 71Voting at meetings of creditors and clients
  83. 72Requisite majorities
  84. 73Requisite majorities at members or contributories’ meetings
  85. 74Administrator voting
  86. Chapter 6: Correspondence and remote attendance
  87. 75Correspondence instead of meetings
  88. 76Remote attendance at meetings conducted in accordance with section 246A(9) of the 1986 Act
  89. 77Action where person excluded
  90. 78Indication to excluded person
  91. 79Complaint
  92. Chapter 7: Report of meeting
  93. 80Report of meeting
  94. Chapter 8: The creditors’ committee
  95. 81Constitution of committee
  96. 82Formalities of establishment
  97. 83Functions and meetings of the committee
  98. 84The chair at meetings
  99. 85Quorum
  100. 86Committee members’ representatives
  101. 87Resignation
  102. 88Termination of membership
  103. 89Removal
  104. 90Vacancies
  105. 91Voting rights and resolutions
  106. 92Remote attendance at meetings of creditors’ committee
  107. 93Procedure for requests that a place for a meeting should be specified
  108. 94Resolutions otherwise than at a meeting
  109. 95Information from administrator
  110. 96Expenses of members
  111. 97Members dealing with the investment bank
  112. 98Formal defects
  113. Chapter 9: Progress reports
  114. 99Content of progress report
  115. 100Sending progress report
  116. Chapter 10: Proxies and corporate representation
  117. 101Definition of “proxy”
  118. 102Form of proxy
  119. 103Use of proxy at a meeting
  120. 104Retention of proxies
  121. 105Right of inspection
  122. 106Proxy holder with financial interest
  123. 107Representation of corporations
  124. Chapter 11: Disposal of charged property
  125. 108Application to dispose of secured property
  126. 109Application in a special administration (bank administration)
  127. Part 4: Expenses of the Special Administration
  128. 110Order of priority of expenses of the special administration
  129. 111Expenses to be paid out of the client assets
  130. 112Pre-administration costs
  131. 113Allocation of expenses to be paid from client assets
  132. Part 5: Objective 1
  133. Chapter 1: Setting a bar date
  134. 114Notice of the bar date
  135. 115Content of claim for client assets
  136. 116Content of claim in respect of security interest
  137. 117Costs of making a claim
  138. 118New administrator appointed
  139. Chapter 2: Further notification
  140. 119Notifying potential claimants after bar date has passed
  141. Chapter 3: Distribution plan
  142. 120Distribution plan
  143. 121Approval by the creditors’ committee
  144. 122Approval by the court
  145. 123Treatment of late claimants
  146. Part 6: Distributions to Creditors
  147. 124Application of Part 6
  148. 125Submission of claim
  149. 126Statement of claim
  150. 127Application of the 1985 Act in relation to creditor’s claims
  151. 128Claims in foreign currency
  152. 129Administrator to allow inspection of proofs
  153. 130New administrator appointed
  154. 131Order of priority of distribution
  155. 132Application of 1985 Act in relation to distribution of assets
  156. 133Payment of dividends
  157. 134Rights of eligible depositors and set-off
  158. Part 7: The Administrator
  159. Chapter 1: Remuneration of the administrator
  160. 135Remuneration of administrator
  161. 136Administrator’s application to increase remuneration
  162. Chapter 2: Replacing the administrator
  163. 137Grounds for resignation
  164. 138Notice of intention to resign
  165. 139Notice of resignation
  166. 140Application to court to remove administrator from office
  167. 141Incapacity of administrator to act through death or otherwise
  168. 142Application to replace (special administration)
  169. 143Application to replace (special administration (bank insolvency))
  170. 144Application to replace (special administration (bank administration))
  171. 145Notification and advertisement of appointment of replacement administrator
  172. 146Notification and advertisement of appointment of joint administrator
  173. 147Additional joint administrator (special administration (bank administration))
  174. 148Administrator’s duties on vacating office
  175. Part 8: End of Special Administration
  176. 149Final progress report
  177. 150Application to court by administrator
  178. 151Application to court by creditor
  179. 152Notification by administrator of court order
  180. 153Moving from administration to dissolution
  181. Part 9: Applications to Court
  182. Chapter 1: Applications under section 176A of the 1986 Act
  183. 154Applications under section 176A(5) of the 1986 Act to disapply section 176A
  184. 155Notice of an order under section 176A(5) of the 1986 Act
  185. Chapter 2: Defects
  186. 156Power of court to cure defects
  187. Part 10: Application of section 216 of the 1986 Act
  188. 157Preliminary
  189. 158Application for leave under section 216(3) of the 1986 Act
  190. 159First excepted case
  191. 160Second excepted case
  192. 161Third excepted case
  193. Part 11: Provisions of General Effect
  194. Chapter 1: Miscellaneous and general
  195. 162Fees and expenses
  196. 163Punishment of offences
  197. Chapter 2: Giving of notice and supply of documents
  198. 164Application of Chapter 2
  199. 165Giving of notices
  200. 166Sending by post
  201. 167Certificate of giving notice
  202. 168Authentication
  203. 169Electronic delivery
  204. 170Use of websites by administrator
  205. 171Special provision on account of expense as to website use
  206. 172Electronic submission of information
  207. 173Electronic submission of information where rule 172 does not apply
  208. 174Contents of notices to be advertised in the Edinburgh Gazette
  209. 175Notices otherwise advertised under the Regulations or these Rules
  210. 176Notices otherwise advertised
  211. 177Omission of unobtainable information
  212. Chapter 3: Notifications to the registrar of companies
  213. 178Application of Chapter 3
  214. 179Information to be contained in all notifications to the registrar
  215. 180Notification relating to the administrator
  216. 181Notifications relating to documents
  217. 182Notifications relating to court orders
  218. 183Notifications relating to other events
  219. 184Notifications of more than one nature
  220. 185Notifications made to other persons at the same time
  221. Chapter 4: Further provisions concerning documents
  222. 186Confidentiality of documents
  223. 187Right to inspect documents, to have list of creditors and to copy documents
  224. 188Sederunt book
  225. 189Disposal of investment bank’s books, papers and other records
  226. Chapter 5: Further provisions concerning the administrator
  227. 190Administrator’s caution
  228. 191Information about time spent on the special administration
  229. 192Service on joint administrators
  230. Chapter 6: Transfer of proceedings
  231. 193Proceedings commenced in the wrong court
  232. 194Proceedings other than special administration commenced
  233. Signature
  234. Explanatory note