Corporations Amendment (Insolvency) Act 2007 (132 of 2007)

Schedule 3   Improving regulation of insolvency practitioners

Corporations Act 2001

10   After section 1290

Insert:

1290A Cancellation on certain grounds

(1) If a person who is registered as a liquidator, as a liquidator of a specified body corporate or as an official liquidator:

(a) becomes an insolvent under administration; or

(b) becomes disqualified from managing corporations under Part 2D.6; or

(c) contravenes subsection 1284(1);

ASIC may cancel the registration of that person as a liquidator, as a liquidator of that body corporate or as an official liquidator, as the case may be.

(2) If ASIC decides under subsection (1) to cancel the registration of a person as a liquidator, as a liquidator of a specified body corporate or as an official liquidator:

(a) ASIC must, not later than 14 days after the decision, give the person a written notice:

(i) setting out the decision; and

(ii) the reasons for it; and

(b) the decision comes into effect at the end of the day on which that notice is given to the person.

(3) A failure of ASIC to comply with subsection (2) does not affect the validity of the decision.

(4) Subsection (1) does not limit section 1291 or 1292.

(5) Sections 1291 and 1292 do not limit subsection (1) of this section.