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Revival of sick companies: draft rules prescribe creditor applications, interim and company administrators, creditor votes and scheme sanction. Draft rules set procedures for revival and rehabilitation of sick companies: secured creditors must file prescribed applications with supporting demand notices, financials and authorisations; the Tribunal may declare a company sick after hearing, grant interim stays, appoint an interim administrator with powers to protect assets, convene creditors and report on revival prospects, and require publication and Registrar filings. Where creditors approve revival by requisite value-majorities, a company administrator is appointed to prepare, publish and file a scheme for Tribunal sanction with prescribed documents; the Tribunal may modify schemes and oversee implementation, including use of a Rehabilitation and Insolvency Fund.
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Revival of sick companies: draft rules prescribe creditor applications, interim and company administrators, creditor votes and scheme sanction.
Draft rules set procedures for revival and rehabilitation of sick companies: secured creditors must file prescribed applications with supporting demand notices, financials and authorisations; the Tribunal may declare a company sick after hearing, grant interim stays, appoint an interim administrator with powers to protect assets, convene creditors and report on revival prospects, and require publication and Registrar filings. Where creditors approve revival by requisite value-majorities, a company administrator is appointed to prepare, publish and file a scheme for Tribunal sanction with prescribed documents; the Tribunal may modify schemes and oversee implementation, including use of a Rehabilitation and Insolvency Fund.
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