41st Meeting

The matters that arose in this meeting were safeguarding the diminution in value arising with a deferment of realisation. Mr Hunter said that under the American system, the court took into account damage to the creditor and could compensate him/her as a result of inhibiting the enforcement of fixed charges.

On page 5, you will find a list of points to be used by the committee’s representatives. On page 6, you will find a letter signed by T H Taylor. He discusses in this letter the arguments to put forward in a future meeting. It also stressed the importance of presenting a final report to the Secretary of State.

46th Meeting

The first subject of discussion was receivership under floating charges. Prior to the end of receivership, the receiver must send to all creditors a summary of the receipts and payments made during the receivership. The committee also agreed that a liquidator would be able to acquire the book and information regarding a company’s affairs.

The committee decided by a majority that a notice should be given at the registered office of the company as this would prevent the assets from disappearing before the appointment.

Compulsory insolvent procedures for individual debtors

The committee suggested that liabilities should include current and contingent liabilities. A number of other procedural issues were discussed. Then, there was a discussion of the question of whether a trustee should report to the court. It was suggested that the trustee should report to the creditors, who would then be free to take action if they see fit.

There was a lengthy discussion regarding discharge-particularly the duration after which a discharge would occur.

In the end, the committee mentioned that the production of the final report should be quicker. They also listed a number of issues that still had to be discussed.

Meeting34 - 18th October 1979