In other WBS transactions, these provide bondholders with more control by giving them the option to appoint an administrative receiver well ahead of a payment default.
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In English law, a qualifying floating charge is a floating charge which enables the holder to appoint an administrator or administrative receiver under the Insolvency Act 1986 without the need for an order of the court. The change was introduced by the Enterprise Act 2002, and was designated to streamline the process in relation to the appointment of an administrators (all floating charges historically had the power to appoint an administrative receiver). A floating charge is a qualifying floating charge if it is expressed to be one, or if the security document purports to give the holder power to appoint an administrator or administrative receiver. The procedure for appointing an administrator under a qualifying floating charge is as follows: # the floating charge holder has given at least two business days written notice to any holders of qualifying floating charges with priority over the applicant's (i.e.
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Administrative receivership is a procedure in the United KingdomSee sections 29(2) and 251 of the Insolvency Act 1986 and Article 5(1) of the Insolvency (Northern Ireland) Order 1989 for the definition of administrative receiver under the laws, respectively, of England and Wales, Scotland and Northern Ireland and certain other common law jurisdictions whereby a creditor can enforce security against a company's assets in an effort to obtain repayment of the secured debt. It used to be the most popular method of enforcement by secured creditors, but recent legislative reform in many jurisdictions has reduced its significance considerably in certain countries.Particularly in the United Kingdom subsequent to the passing of the Enterprise Act 2002 Administrative receivership differs from simple receivership in that an administrative receiver is appointed over all of the assets and undertaking of the company. This means that an administrative receiver can normally only be appointed by the holder of a floating charge.
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Because of this unusual role, insolvency legislation usually grants wider powers to administrative receivers, but also controls the exercise of those powers to try to mitigate potential prejudice to unsecured creditors. Typically, an administrative receiver is an accountant with considerable experience of insolvency matters.
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In 2010, Kelly resigned from DCHA to become general manager of the New York City Housing Authority. Kelly served in this position until he was asked to serve as the Administrative Receiver of the Philadelphia Housing Authority by HUD Secretary Shaun Donovan and Philadelphia mayor Michael Nutter.
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In 1910 the company became engaged in some form of legal action against the Midland Railway Company, with detailed records of the litigation eventually deposited in The National Archives. The company ran into financial difficulties during the 1970s and became insolvent; an administrative receiver was appointed in 1976.
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This regime allowed the holder of a floating charge to appoint an administrative receiver to realise assets in his favour, and also to block an administration order sought by a borrower. This was felt to be too favourable to the floating charge holder at the expense of other creditors. Holders of a floating charge created prior to 15 September 2003 retain their right to appoint an administrative receiver, but all purported rights to do so created after that date will be construed as rights to appoint an administrator, subject to certain specific, rare exceptions. A court order is issued that forbids any form of legal or insolvency action without the court's permission.
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Insolvency practitioners are required to be licensed in the British Virgin Islands in order to act as a liquidator, administrator, administrative receiver or supervisor of a creditors' arrangement. A foreign insolvency practitioner may act jointly with a licensed insolvency practitioner provided that (a) the Financial Services Commission has been notified in advance of the proposed appointment in writing and has not objected within the statutory time limit.
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In 1999, Over 80% of its business came from overseas. SHM manufactured a range of products for book printing, sheet cutting and related ancillary products. Printing Industry Products included the Variquik press for web fed short run book printing, and a range of bespoke web presses for printing medium and long run book, journal and directories in mono or two colours. In 1999 an administrative receiver was appointed and in 2000 the company went into voluntary liquidation.
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In order to act as a liquidator in an insolvent liquidation, administrative receiver (but not a simple receiver), supervisor of an arrangement or administrator (if administration is ever brought into force) a person must be a licensed insolvency practitioner.Insolvency Act, section 474 A practitioner must be resident in the British Virgin Islands to obtain a licence. However, it is possible for a foreign insolvency practitioner to be appointed jointly with the British Virgin Islands resident licensed insolvency practitioner.
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He established and defined standard operating practices and provided organizational leadership to ensure peak performance and to protect against fraud, waste, and mismanagement. Jeremiah next accepted a position at the Philadelphia Housing Authority (PHA) in August 2011. He became the agency’s first Director of Audit and Compliance, in which he instituted policies designed to ferret out waste, fraud, abuse, and mismanagement. In 2012, Jeremiah became the HUD-appointed Administrative Receiver and the Interim Executive Director of PHA.
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Shamji v Johnson Matthey Bankers Ltd [1986] BCLC 278 It was accepted that a receiver had a duty to act only for the proper purpose of realising debts, and not for some ulterior motive. In Downsview Nominees Ltd v First City Corp Ltd,[1993] AC 295 a company had given floating charges to two banks (Westpac first, and First City Corp second). The directors, wishing to install a friendly figure in control asked Westpac to assign its floating charge to their friend Mr Russell, who proceeded to run the business with further losses of $500,000, and refused to pass control to First City Corp, even though they offered the company discharge of all the money owed under the first debenture. The Privy Council advised that Mr Russell, as administrative receiver, had acted for an improper purpose by refusing this deal. A further case of breach of duty occurred in Medforth v Blake[2000] Ch 86 where the administrative receiver of a pig farm ignored the former owner's advice on how to get discounts on pig food of £1000 a week.
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It put forward two major reforms. First, it put the receiver and manager on a statutory footing: a receiver appointed to all or substantially all of a company's property was now an administrative receiver and subject to some statutory responsibilities. Second, it introduced an "administration order" as an equivalent process to administrative receivership—but available to any company by court order independent of any particular security arrangement. Parliament expected that companies and creditors would use administration in preference to administrative receivership.
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Crucially, however, Parliament had conceded in the Insolvency Act that administrative receivership should have priority - that is, a secured creditor with a floating charge could defeat any attempt to commence an administration by appointing an administrative receiver. As a result, administration was not as popular as lawmakers had envisaged, and secured creditors habitually appointed administrative receivers to enforce security rights. Parliament took more drastic action in the Enterprise Act 2002. They changed the administration regime to make it more attractive, but also barred the right to appoint administrative receivers in any security created after 15 September 2003 (subject to certain specific exceptions).
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Insolvency Act, Part XVII A liquidator may challenge transactions entered into in the twilight period prior to insolvency where such transactions constitute either an unfair preference, undervalue transaction, voidable floating charge or extortionate credit transaction.Insolvency Act, Part VII A liquidator can also pursue former directors (including shadow or de facto directors) and officers of the company for either misfeasance or insolvent trading.Insolvency Act, Part VIII The Insolvency Act also regulates receiverships, including administrative receiverships. Under British Virgin Islands law it is possible to appoint an administrative receiver pursuant to a floating charge over all or substantially all of a company's assets and undertaking.
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In companies, secured lenders who had taken a floating charge over all the assets of a company also contracted for the right upon insolvency to manage the business: the appointed person was called a "receiver and manager" or an "administrative receiver".See now IA 1986 s 29(2). This is materially identical to a "qualifying floating charge holder" for administration, under IA 1986 Sch B1, para 14. The Insolvency Act 1986 amended the law so as to codify and raise the administrative receiver's duties. All receivers had a duty to keep and show accounts,Smiths Ltd v Middleton [1979] 3 All ER 842 and administrative receivers had to keep unsecured creditors informed, and file a report at Companies House.
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IA 1986 s 48 By default, he would be personally liable for contracts that he adopted while he ran the business.Parsons v Sovereign Bank of Canada [1913] AC 160 a company must novate before a receiver incurs personal liability. For employment contracts, he could not contract out of liability, and had to pay wages if he kept employees working for over 14 days.IA 1986 s 42(2)-(2D) and Powdrill v Watson [1995] 2 AC 394 However, the administrative receiver could always be reimbursed for these costs out of the company's assets,IA 1986 s 44 and Sch 1 and he would have virtually absolute management powers to control the company in the sole interest of the floating charge holder.
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Allen-Vercoe at Updown Court Heatherside was put into the hands of an administrative receiver, Vivian Bairstow of Begbies Traynor. In 2002 Bairstow instructed FPDSavills and Knight Frank, to sell Updown Court to recover the company's assets and pay back creditors, who included an overseas lender. The guide price for the sale was £15 million and bids closed on 10 July 2002. A developer, Leslie Allen-Vercoe completed the purchase of the unfinished shell for £13 million (the approximate 2009 equivalent of £20 million) in January 2003.Milmo, Cahal (2003). Bad news for property market as seller cuts price by £57m. The Independent, 17 January 2003, p.3. A planned further £30 million was to be spent finishing and redeveloping the property and the project was mainly funded by loans from the Irish Nationwide Building Society.Sunday Business Post (2011).
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Holmes à Court entered the corporate stage by accident in 1970, when his law firm was asked to act as administrative receiver of a small publicly listed company, Western Australian Worsted & Woollen Mills (later Albany Woollen Mills, also known as AWM or WA Wool). The company was the single largest employer in the regional city of Albany. In what he later described as his most challenging "takeover", probably because it was his first, he found a way to invest $500,000 in the ailing business, on the proviso that the state Minister for Industry, Sir Charles Court, would persuade the Government of Western Australia to forgive the $500,000 in loans they had made. The source of funds for his initial investment in WA Wool were never made clear, since the $75,000 deposit for the purchase price of WA Wool shares came from a bank account that he shared with the partners in his law firm at the time, and his partners asked for these funds to be repaid.
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