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

Schedule 1   Improving outcomes for creditors

Part 2   Better informing creditor decisions

Corporations Act 2001

25   Subsection 449E(1)

Repeal the subsection, substitute:

(1) The administrator of a company under administration is entitled to receive such remuneration as is determined:

(a) by agreement between the administrator and the committee of creditors (if any); or

(b) by resolution of the company's creditors; or

(c) if there is no such agreement or resolution - by the Court.

(1A) The administrator of a company under a deed of company arrangement is entitled to receive such remuneration as is determined:

(a) by agreement between the administrator and the committee of inspection (if any); or

(b) by resolution of the company's creditors; or

(c) if there is no such agreement or resolution - by the Court.

(1B) To be effective, a resolution under paragraph (1)(b) or (1A)(b) must deal exclusively with remuneration of the administrator.

Note: This means that the resolution must not be bundled with any other resolution.

(1C) The Court may determine remuneration under paragraph (1)(c) even if:

(a) there has been no meeting of the committee of creditors; or

(b) there has been no meeting of the company's creditors.

(1D) The Court may determine remuneration under paragraph (1A)(c) even if:

(a) there has been no meeting of the committee of inspection; or

(b) there has been no meeting of the company's creditors.