Corporations Act 2001

SCHEDULE 2 - INSOLVENCY PRACTICE SCHEDULE (CORPORATIONS)  

Note: See section 600K .

PART 3 - GENERAL RULES RELATING TO EXTERNAL ADMINISTRATIONS  

Division 90 - Review of the external administration of a company  

Subdivision C - Review by another registered liquidator  

CLAUSE 90-23   APPOINTMENT OF REVIEWING LIQUIDATOR BY ASIC OR THE COURT  
Appointment by ASIC

90-23(1)    
A registered liquidator may be appointed by ASIC to carry out a review into a matter that relates to the external administration of the company, if ASIC considers it appropriate to do so.

90-23(2)    
ASIC may exercise the power under subsection (1):

(a) on its own initiative; or

(b) on application by a person with a financial interest in the external administration of the company; or

(c) on the application of an officer of the company.

90-23(3)    
An application under paragraph (2)(b) or (c) must be lodged with ASIC in the approved form.

90-23(4)    
Paragraph (2)(c) has effect despite section 198G .

Note: Section 198G deals with powers of officers etc. while a company under external administration.

90-23(5)    
If ASIC appoints a registered liquidator to carry out a review, ASIC must specify:

(a) the matters in relation to the external administration of the company which the liquidator is appointed to review; and

(b) the way in which the cost of carrying out the review is to be determined.

90-23(5A)    

Subsections (1) to (5) do not apply to:

(a)    a company under restructuring; or

(b)    a company that has made a restructuring plan that has not yet terminated.

Appointment by the Court

90-23(6)    
A registered liquidator may be appointed by the Court to carry out a review into a matter that relates to the external administration of the company.

90-23(7)    
The Court may exercise the power under subsection (6):

(a) on application under subsection (8); and

(b) if the Court considers it appropriate to do so.

90-23(8)    
Either of the following may make an application under this subsection:

(a) ASIC;

(b) a person with a financial interest in the external administration of the company.

90-23(9)    
If the Court appoints a registered liquidator to carry out a review, the Court must specify:

(a) the matters in relation to the external administration of the company which the liquidator is appointed to review; and

(b) the way in which the cost of carrying out the review is to be determined.

Appointments by ASIC or by the Court - limit

90-23(10)    
A matter referred to in paragraph (5)(a) or (9)(a) must not relate to remuneration which an external administrator of the company is entitled to receive under subsection 60-5(2) (remuneration if no remuneration determinations made).