Cymraeg

Insolvency events in relation to a company

Section 121(3) & Regulation 5 of the Pension Protection Fund (Entry Rules) Regulations 2005

An insolvency event occurs in relation to a company where:

a the nominee under Part 1 of the Insolvency Act 1986 either:
i (who is not the liquidator or administrator) submits a report to the court stating his opinion that meetings of the company and its creditors should be summoned to consider the proposal; or
ii (who is an administrator or liquidator) summons a meeting of the company and its creditors to consider the proposal;

b the directors of the company file (or in Scotland, lodge) with the court documents and statements which begin a moratorium where the directors propose a voluntary arrangement;

c an administrative receiver is appointed in relation to the company;

d the company enters administration;

e a resolution is passed for creditors’ voluntary liquidation or an administrator issues a notice which converts the administration to creditors voluntary liquidation;

f a creditors’ meeting is held which converts a members’ voluntary liquidation into a creditors’ voluntary liquidation;

g a winding up order is made or an administration is converted to winding up by court order.