# The Investment Bank Special Administration (Scotland) Rules 2011, Rule 42: Business of the initial meeting


(1) At the initial meeting of creditors and clients—
(a) a creditors’ committee may be established in accordance with Chapter 8 of this Part; and
(b) the statement of proposals shall be approved as follows.
(2) The proposals shall not be approved unless both classes of voter have voted to approve them.
(3) The creditors and the clients shall vote separately on whether to approve the proposals.
(4) In a special administration (bank insolvency) (and in a special administration (bank administration) if there are depositors) the FSCS shall be entitled to vote as a creditor under this rule and rule 65 has effect with respect to its voting rights.
(5) If the proposals were approved by a class of voter subject to a modification, the proposals will not be considered approved by the other class unless that other class has approved the proposal as modified.
(6) Where the administrator is unable to get the requisite majority of a class of voter for approval of the statement of proposals (with or without any modifications), rule 43 applies.
(7) Paragraph (6) shall not apply in a special administration (bank administration).
(8) This rule shall not apply where the FSA has given a direction under regulation 16 and the direction has not been withdrawn.

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Source: https://www.legislation.gov.uk/uksi/2011/2262/rule/42 (the official version)
Page: https://openlegislation.uk/investment-bank-special-administration-scotland-rules-2011/rule-42
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.