Corporations Act 2001
If the trustee or ASIC applies to the Court, the Court may make any or all of the following orders:
(a) an order staying an action or other civil proceedings before a court by or against the borrower or a guarantor body;
(b) an order restraining the borrower from paying any money to the debenture holders or any holders of any other class of debentures;
(c) an order that any security for the debentures be enforceable immediately or at the time the Court directs (even if the debentures are irredeemable or redeemable only on the happening of a contingency);
(d) an order appointing a receiver of any property constituting security for the debentures;
(e) an order restricting advertising by the borrower for deposits or loans;
(f) an order restricting borrowing by the borrower;
(g) any other order that the Court considers appropriate to protect the interests of existing or prospective debenture holders. 283HB(2) [ Relevant considerations]
In deciding whether to make an order under subsection (1), the Court must have regard to:
(a) the ability of the borrower and each guarantor to repay the amount deposited or lent as and when it becomes due; and
(b) any contravention of section 283GA by the borrower; and
(c) the interests of the borrower's members and creditors; and
(d) the interests of the members of each of the guarantors.
Note: The Court may order a meeting of debenture holders to be held (see section 283EC).
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