Corporations Act 2001

CHAPTER 5 - EXTERNAL ADMINISTRATION  

PART 5.3B - RESTRUCTURING OF A COMPANY  

Note: This Part does not apply to a CCIV or a sub-fund of a CCIV: see Division 4 of Part 8B.6 .

Division 2 - Restructuring  

Subdivision B - Appointment of restructuring practitioner  

SECTION 453B   APPOINTING A RESTRUCTURING PRACTITIONER  

453B(1)    
A company may, by writing, appoint a small business restructuring practitioner for the company if:

(a)    the eligibility criteria for restructuring are met in relation to the company on the day the appointment is made; and

(b)    the board has resolved to the effect that:

(i) in the opinion of the directors voting for the resolution, the company is insolvent, or is likely to become insolvent at some future time; and

(ii) a restructuring practitioner for the company should be appointed.

453B(2)    
A company must not appoint a restructuring practitioner under subsection (1) if:

(aa)    

the company is, or is a related body corporate of, a body regulated by APRA (within the meaning of the Australian Prudential Regulation Authority Act 1998 ); or

(a)    the company is already under restructuring; or

(b)    the company has made a restructuring plan that has not yet terminated; or

(c)    the company is under administration; or

(d)    the company has executed a deed of company arrangement that has not yet terminated; or

(e)    a person holds an appointment as liquidator, provisional liquidator or administrator of the company.