Section 10 - Insertion of new section 32A-Liability for prior offences etc.

Cessation of corporate liability for pre-insolvency offences when an approved resolution plan effects independent change of management.

Section 32A provides that a corporate debtor's liability for offences committed before the insolvency process ends where an approved resolution plan effects change of management or control to a person who was not a promoter, related party, or the subject of an investigating authority's material-based suspicion and report; prosecutions during the process are discharged on approval subject to conditions. Designated partners and officers in default involved in the offence remain prosecutable. Property covered by such approved plans is protected from attachment or seizure in relation to pre-insolvency offences, while cooperation with investigators remains required.