Corporations Act 2001

SCHEDULE 2 - INSOLVENCY PRACTICE SCHEDULE (CORPORATIONS)

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Note: See section 600K .

PART 3 - GENERAL RULES RELATING TO EXTERNAL ADMINISTRATIONS

Division 55 - Introduction

SECTION 55-1 SIMPLIFIED OUTLINE OF THIS PART

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This Part sets out requirements for conducting the external administration of a company.

The main provisions deal with:

(a) the remuneration of the external administrator; and

(b) the duties of the external administrator in handling the money and other property of the company; and

(d) the duties of the external administrator to keep appropriate records, to report to ASIC and to give information, documents and reports to creditors, members of the company and others; and

(e) creditor and company meetings; and

(f) the creation and conduct of a committee to monitor the external administration (called a committee of inspection); and

(g) the rights of creditors to review the external administration; and

(h) the rights of creditors to remove the external administrator and appoint another; and

(i) the review of the external administration by the Court.

There are additional rules that apply to companies under external administration in Chapter 5 (for example, about appointment of external administrators) of this Act.

Companies in receivership are not covered in this Part (see generally Part 5.2 of this Act).

[ CCH Note: Cl 55-1 will be amended by No 69 of 2020, s 3, Sch 1[1340], by inserting " and the Registrar " after " ASIC " , (effective 1 July 2026 or a day or days to be fixed by Proclamation).]

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