text:
Commencement, citation and interpretation
1
1
These Regulations may be cited as the Child Support Collection and Enforcement (Deduction Orders) Amendment Regulations 2009 and shall come into force on 3rd August 2009.
2
In these Regulations “the Collection and Enforcement Regulations ” means the Child Support (Collection and Enforcement) Regulations 1992 .
Amendment of the Collection and Enforcement Regulations
2
After Part 3 of the Collection and Enforcement Regulations insert —
PART 3A Deduction Orders
CHAPTER 1
Interpretation
Interpretation of this Part
25A
1
In this Part —
“assessable income” means the amount calculated in accordance with paragraph 5 of Schedule 1 to the Act as it applies to a 1993 scheme case and regulations made for the purposes of that paragraph;
“deduction period” means the period of a week, a month or other period at which deductions are to be made from the amount (if any) standing to the credit of the account specified in a regular deduction order;
“garnishee order” means an order made in accordance with the provisions of order 30 of the County Court Rules 1981 or order 49 of the Rules of the Supreme Court 1965 ;
“net weekly income” has the meaning given in the Schedule to the Child Support (Maintenance Calculations and Special Cases) Regulations 2000 ;
“lump sum deduction order” means an order under section 32E(1) or, as the case may be, 32F(1) of the Act;
“regular deduction order” means an order under section 32A(1) of the Act;
“third party debt order” means an order made in accordance with the provisions of Part 72 of the Civil Procedure Rules 1998 ;
“working day” means any day other than a Saturday, a Sunday, Christmas Day, Good Friday or a day which is a bank holiday within the meaning of the Banking and Financial Dealings Act 1971 in the part of the United Kingdom where a copy of a regular deduction order or a lump sum deduction order is served or a notification sent by the Commission is received.
2
Any person against whom an order under section 32A(1) of the Act may be made by the Commission is referred to in this Chapter and Chapters 2 and 4 as “the liable person”.
3
Where a copy of a regular deduction order or a lump sum deduction order is served by the Commission in accordance with section 32A(7), 32E(6) or 32F(6) of the Act —
a
on a deposit-taker —
i
where that copy of the order is sent by electronic communication or fax to the deposit-taker’s last notified address for electronic communication or, as the case may be, fax number, it is to be treated as having been served at the end of the first working day after the day it was sent by the Commission, or
ii
where that copy of the order is sent by post to the deposit-taker’s last notified address, it is to be treated as having been served at the end of the second working day after the day it was posted by the Commission; or
b
on a liable person, where that copy of the order is sent by post to that person’s last known or notified address, it is to be treated as having been served at the end of the day on which the copy of the order is posted.
4
Any notification sent by the Commission in accordance with this Part to a deposit-taker or a liable person is to be treated as having been received at the same time as an order is treated as having been served in accordance with the provisions of paragraph (3).
5
Where a copy of a regular deduction order or a lump sum deduction order or any notification has been sent by electronic communication in accordance with paragraph (3)(a)(i) the record held on an official computer system is conclusive (or in Scotland, sufficient) evidence —
a
that a copy of that order has been sent; and
b
of the content of that order.
6
This Part applies to a 1993 scheme case in the same way as it applies to a 2003 scheme case and —
a
any references to expressions in the Act (including “maintenance calculation”) or to regulations made under the Act are to be read, in relation to a 1993 scheme case, with the necessary modifications; and
b
any reference in this Part to “net weekly income” is to be read as if it were a reference to “assessable income” where these Regulations apply to a 1993 scheme case.
7
In this regulation —
a
“electronic communication” has the meaning given in section 15(1) of the Electronic Communications Act 2000 ;
b
“an official computer system” means a computer system maintained by or on behalf of the Commission for sending an order or any notification;
c
“1993 scheme case” means a case in respect of which the provisions of the Child Support, Pensions and Social Security Act 2000 have not been brought into force in accordance with article 3 of the Child Support, Pensions and Social Security Act 2000 (Commencement No. 12) Order 2003 ; and
d
“2003 scheme case” means a case in respect of which those provisions have been brought into force.
CHAPTER 2
Regular Deduction Orders
Regular deduction orders
25B
1
A regular deduction order must specify —
a
the amount of the regular deduction; and
b
the dates on which regular deductions (referred to in this Chapter as “deduction dates”) are due to be made.
2
Where the date on which the regular deduction is due to be made is not a working day, the deduction must be made on the first working day after the date specified in the order.
Maximum deduction rate
25C
1
The deduction rate under a regular deduction order in respect of any deduction period —
a
is not to exceed 40% of the liable person’s net weekly income in respect of that period as calculated —
i
at the date of the current maintenance calculation, or
ii
where a maintenance calculation has been in force and there are arrears of child support maintenance, at the date of the most recent previous maintenance calculation; or
b
where a default maintenance decision has been made, is not to exceed £80 per week.
2
In this Chapter “previous maintenance calculation” means a maintenance calculation which is no longer in force.
Minimum amount
25D
1
A deduction must not be made where the amount standing to the credit of the account specified in the regular deduction order is below the minimum amount on the date a deduction is due to be made.
2
The minimum amount (for the purposes of this Chapter) is, where the deduction period is —
a
monthly, £40;
b
weekly, £10; or
c
for any other period, £10 for each whole week in that period plus £1 for each additional day in that period,
plus the amount of administrative costs authorised by regulation 25Z(a) (administrative costs).
Notification by the deposit-taker to the Commission
25E
1
A deposit-taker at which a regular deduction order is directed must notify the Commission in writing, within 7 days —
a
of a copy of the order or the order as varied being served; or
b
of notification being received by the deposit-taker that an order has been revived,
of the matters set out in paragraph (2).
2
The matters are —
a
if the account specified in the order does not exist; and
b
where the name of the liable person specified in the order is different to the name in which the account specified in the order is held —
i
whether the account was previously held in the name of the liable person specified in the order, and
ii
if so, the new name in which the account is held,
only where the liable person named in the order is the same person as the person in whose name the account specified in the order is held.
3
A deposit-taker at which a regular deduction order is directed must notify the Commission within 7 days of notification being received that an order has lapsed or has been discharged —
a
if the account specified in the order does not exist; and
b
where the name of the liable person specified in the order is different to the name in which the account specified in the order is held —
i
whether the account was previously held in the name of the liable person specified in the order, and
ii
if so, the new name in which the account is held,
only where the liable person named in the order is the same person as the person in whose name the account specified in the order is held.
4
The deposit-taker at which a regular deduction order is directed must notify the Commission within 7 days starting on the date on which a deduction is due to be made —
a
if the account specified in the order has been closed;
b
if the amount standing to the credit of the account specified in the order is less than the minimum amount; and
c
where the name of the liable person specified in the order is different to the name in which the account specified in the order is held —
i
whether the account was previously held in the name of the liable person specified in the order, and
ii
if so, the new name in which the account is held,
only where the liable person named in the order is the same person as the person in whose name the account specified in the order is held.
5
The deposit-taker at which a regular deduction order is directed must notify the Commission within 7 days of receipt of a request made by the Commission of the details of any other account held by the liable person with that deposit-taker and the details of that account, including —
a
the number and sort code of that account; and
b
the type of account.
6
The requirements of this regulation apply only in so far as the deposit-taker has the information or can reasonably be expected to acquire it.
Notification by the Commission to the deposit-taker
25F
The Commission must notify the deposit-taker within 7 days of making a decision that a regular deduction order has —
a
been varied by virtue of regulation 25I (variation of a regular deduction order);
b
lapsed under regulation 25J (lapse of a regular deduction order);
c
been revived under regulation 25K (revival of a regular deduction order); or
d
ceased to have effect by virtue of regulation 25L (discharge of a regular deduction order).
Review of a regular deduction order
25G
1
A deposit-taker at which a regular deduction order is directed or the liable person against whom the order is made may apply to the Commission for a review of the order.
2
The circumstances in which an application may be made under paragraph (1) are that —
a
the liable person or the deposit-taker satisfies the Commission that some or all of the amount standing to the credit of the account specified in the order is not an amount in which the liable person has a beneficial interest;
b
there has been a change in the amount of the maintenance calculation in question;
c
any amounts payable under the order have been paid;
d
the maximum deduction rate has been calculated in accordance with regulation 25C(1)(a)(ii) (maximum deduction rate) and there has been a change in the liable persons net weekly income since the date of the most recent previous maintenance calculation;
e
due to an official error, an incorrect amount has been specified in the order; or
f
the order does not comply with the requirements of section 32A(5) of the Act or regulation 25B(1) or 25C.
3
Following a review of an order under this regulation —
a
where the Commission changes the amount to be deducted by the deposit-taker under the order, it may vary the order; or
b
where the Commission extinguishes the amount to be deducted by the deposit-taker under the order, it must discharge the order.
4
In paragraph (2)(e) “official error” has the same meaning as in regulation 1(3) of the Social Security and Child Support (Decisions and Appeals) Regulations 1999 (interpretation) .
Priority as between orders – regular deduction orders
25H
1
Paragraphs (2) to (5) apply where one or more third party debt orders or garnishee orders provide for deductions to be made from the same account as that specified in a regular deduction order.
2
Where —
a
one or more third party debt orders or garnishee orders are served on a deposit-taker before or on the day a payment is due to be made under a regular deduction order; and
b
the regular deduction order was served on the same deposit-taker before those orders,
the deposit-taker must make that payment except where the deposit-taker has taken action to comply with the obligations under any third party debt order or garnishee order.
3
Where a regular deduction order is served after an interim third party debt order or a garnishee order nisi the deposit-taker must take action to comply with any of those orders before making a deduction under the regular deduction order.
4
Where paragraph (2) or (3) applies, the deposit-taker must take action to comply with any third party debt orders or garnishee orders before making further deductions under the regular deduction order.
5
Where a decision to revive a regular deduction order takes effect on the same day as or any day after a third party debt order or garnishee order has been served, the deposit-taker must take action to comply with any of those orders before making a deduction under the regular deduction order.
6
Paragraphs (1) to (5) do not apply to Scotland.
7
In Scotland, paragraphs (8) to (10) apply where a deposit-taker receives one or more arrestment schedules (“arrestments”) and a regular deduction order which apply to the same account.
8
Where —
a
one or more arrestments are served on a deposit-taker before or on the day a payment is due to be made under a regular deduction order; and
b
the regular deduction order was served on the same deposit-taker before any of those arrestments,
the deposit-taker must make that payment except where the deposit-taker has taken action to comply with the obligations under any of the arrestments.
9
Where paragraph (8) applies, the deposit-taker must take action to comply with any of those arrestments before making further deductions under the regular deduction order.
10
Where a decision to revive a regular deduction order takes effect on the same day as or any day after any arrestments have been served, the deposit-taker must take action to comply with any of those arrestments before making a deduction under the regular deduction order.
Variation of a regular deduction order
25I
1
The Commission may vary a regular deduction order by changing the amount to be deducted in the circumstances set out in paragraph (2).
2
The circumstances are that —
a
the Commission has accepted —
i
that a payment of arrears has been made by the liable person, and
ii
no alternative method of payment of child support maintenance has been arranged;
b
a decision has been made under section 11, 12, 16 or 17 of the Act or there has been an appeal against a maintenance calculation;
c
the Commission has reviewed the order under regulation 25G (review of a regular deduction order); or
d
there has been an appeal under regulation 25AB(1)(a) or (b) (appeals).
3
The Commission may from time to time vary the deduction period.
4
Where —
a
a regular deduction order has been varied under this regulation; and
b
a copy of the order as varied has been served on the deposit-taker at which it is directed,
that deposit-taker must comply with the order; but the deposit-taker is not to be under any liability for non-compliance before the end of the period of 7 days beginning on the day on which the copy of the order as varied is served on the deposit-taker.
Lapse of a regular deduction order
25J
1
A regular deduction order is to lapse in the circumstances set out in paragraph (2).
2
The circumstances are where —
a
the Commission has agreed with the liable person an alternative method of payment of the child support maintenance due under the maintenance calculation; or
b
there is an insufficient amount standing to the credit of the account specified in the order to enable a deduction to be made on two consecutive deduction dates, unless the Commission has decided that the order is to continue for a greater number of deduction dates,
and the Commission considers it is reasonable in all the circumstances that the order is to lapse.
3
A regular deduction order lapses on the day on which the deposit-taker receives notification that the order has lapsed from the Commission.
4
A regular deduction order which has lapsed under this regulation is to be treated as remaining in force for the purposes of regulations 25E (notification by the deposit-taker to the Commission), 25G (review of a regular deduction order) and 25AB (appeals).
Revival of a regular deduction order
25K
1
Where a regular deduction order has lapsed it may be revived by the Commission where —
a
the liable person has failed to comply with any agreement reached under regulation 25J(2)(a) (lapse of a regular deduction order); or
b
the Commission has reason to believe that following the lapse of an order under regulation 25J(2)(b) there is sufficient amount standing to the credit of the account specified in the order to enable a deduction to be made.
2
Where the Commission decides to revive a regular deduction order that decision is to take effect on the day notification that the order has been revived is received by the deposit-taker.
Discharge of a regular deduction order
25L
1
A regular deduction order must be discharged by the Commission where —
a
the account specified in the order has been closed;
b
the maintenance calculation in question is no longer in force and the amount of child support maintenance due under that calculation has been paid in full in accordance with regulation 2 (payment of child support maintenance);
c
the liable person has complied with any agreement reached under regulation 25J(2)(a) for such period as the Commission considers appropriate in the circumstances of the case;
d
the Commission has reviewed the order under regulation 25G and it has extinguished the amount to be deducted by the deposit-taker under the order;
e
on an appeal under regulation 25AB(1)(a) (appeals) the court has set aside the order;
f
unless sub-paragraph (g) applies, a regular deduction order has lapsed under regulation 25J(2) and 6 months have passed beginning on the day the lapse took effect;
g
an appeal is brought by virtue of regulation 25AB(1)(a) or (b), against a regular deduction order which has lapsed under regulation 25J(2) and 1 month has passed beginning on —
i
the day proceedings on the appeal (including any further appeal) concluded, or
ii
the end of any period during which a further appeal may ordinarily be brought,
whichever is the later; or
h
the liable person has died.
2
A regular deduction order may be discharged where the Commission considers it is appropriate to do so in the circumstances of the case.
3
Where a regular deduction order is discharged that discharge takes effect immediately after the payment of the last regular deduction prior to discharge.
CHAPTER 3
Lump Sum Deduction Orders
Period in which representations may be made
25M
Where a lump sum deduction order has been made under section 32E(1) of the Act the period for making representations to the Commission in respect of the proposal specified in that order is 14 days beginning on the day a copy of the order was served.
Disapplication of sections 32G(1) and 32H(2)(b) of the Act
25N
1
Something that would otherwise be in breach of sections 32G(1) and 32H(2)(b) of the Act may, with the consent of the Commission, be done in the following circumstances —
a
the liable person, the liable person’s partner or any relevant other child is suffering hardship in meeting ordinary living expenses;
b
the liable person is under a written contractual obligation, agreed before the lump sum deduction order was made, to make a payment;
c
the deposit-taker has a right of set off and satisfies the Commission that an intention to exercise that right was formed within 30 days before the date the lump sum deduction order under section 32E of the Act was served;
d
the deposit-taker and the liable person have made a written agreement in which the availability of an amount standing to the credit of the account specified in the lump sum deduction order was required as security for that agreement; or
e
any other circumstances the Commission considers appropriate in the particular case.
2
The liable person or the deposit-taker at which a lump sum deduction order is directed may apply to the Commission for consent.
3
When deciding whether to give consent, the Commission must take into account —
a
any adverse impact the decision may have on the liable person or any other person; and
b
any alternative arrangements which may be made by the liable person or the deposit-taker.
4
Where the Commission gives consent it is to take effect on the day on which the deposit-taker receives notification from the Commission to disapply section 32G(1) or 32H(2)(b) of the Act.
5
Something that would otherwise be in breach of section 32G(1) and 32H(2)(b) of the Act may be done where —
a
the amount standing to the credit of the account specified in the lump sum deduction order is less than the amount specified in that order, except in respect of any amount dealt with in compliance with section 32G(1) of the Act; or
b
the deposit-taker has made a payment in accordance with section 32H(1)(a) of the Act.
6
Paragraph (5) has effect until the Commission gives notice to the deposit-taker that paragraph (5) has ceased to have effect in a particular case and that notification is to take effect on the day on which the deposit-taker receives notification from the Commission.
7
In this regulation —
“partner” has the same meaning as in regulation 3(9) (method of payment) and the definition of “couple” in that regulation is to apply accordingly; and
“relevant other child” is to be interpreted in accordance with paragraph 10C(2) of Schedule 1 to the Act and regulations made for the purposes of that paragraph.
Information
25O
1
A deposit-taker at which a lump sum deduction order is directed must supply to the Commission in writing, within 7 days —
a
of a copy of the order or order as varied being served; or
b
of notification being received by the deposit-taker that an order has been revived,
the information set out in paragraph (2).
2
The information is —
a
if the account specified in the order —
i
does not exist,
ii
cannot be traced, or
iii
has been closed;
b
whether the amount standing to the credit of the account specified in the order —
i
on the day the order is served, or
ii
where an order is revived, on the day the decision to revive the order takes effect,
is at least the same or less than the amount specified in the order and where it is less, that amount; and
c
where the name of the liable person specified in the order is different to the name in which the account specified in the order is held —
i
whether the account was previously held in the name of the liable person specified in the order, and
ii
if so, the new name in which the account is held,
only where the liable person named in the order is the same person as the person in whose name the account specified in the order is held.
3
A deposit-taker at which a lump sum deduction order is directed must notify the Commission within 7 days of notification being received that an order has lapsed or has been discharged —
a
if the account specified in the order cannot be traced; or
b
where the name of the liable person specified in the order is different to the name in which the account specified in the order is held —
i
whether the account was previously held in the name of the liable person specified in the order, and
ii
if so, the new name in which the account is held,
only where the liable person named in the order is the same person as the person in whose name the account specified in the order is held.
4
A deposit-taker at which a lump sum deduction order is directed, must supply to the Commission within 7 days of receipt of a request being made by the Commission, the following information —
a
whether the liable person holds another account or has opened an account with that deposit-taker or with another deposit-taker and, if so, the details of that account, including —
i
the number and sort code of that account, and
ii
the type of account; and
b
whether the amount standing to the credit of the account specified in the order on the day the request is received is at least the same or less than the amount specified in the order or the remaining amount and where it is less, that amount.
5
In so far as a deposit-taker at which a lump sum deduction order is directed (“A”) has the information, the details of an account held with another deposit-taker (“B”) must be supplied to the Commission in accordance with paragraph (4) only if —
a
the liable person has —
i
closed the account specified in the order and held with A,
ii
opened an account with B, and
iii
transferred the amount standing to the credit of the account held with A to the account held with B;
b
either —
i
a lump sum deduction order has lapsed, or
ii
A has notified the Commission in accordance with paragraph (2)(a)(iii), that the account specified in the order has been closed; and
c
the Commission has made a request for the information within 1 month of the order lapsing or, as the case may be, notification being received by the Commission that the account has been closed.
6
The requirements of paragraphs (1) to (3) and paragraph (4) as it applies to a deposit-taker at which a lump sum deduction order is directed, apply only in so far as the deposit-taker has the information or can reasonably be expected to acquire it.
7
In paragraph (4)(b) and regulation 25T(1)(b) and (c) “remaining amount” has the same meaning as in section 32H(6) of the Act.
Priority as between orders – lump sum deduction orders
25P
1
Where a deposit-taker would, but for this paragraph, be obliged to comply with an order under section 32F of the Act, and one or more interim third party debt orders or garnishee orders nisi, it must take action to comply with the orders according to the order in which they were served on the deposit-taker.
2
Paragraph (1) does not apply where an order under section 32E of the Act was served after an interim third party debt order or a garnishee order nisi except where there remains an amount standing to the credit of the account specified in the order under section 32F of the Act after any third party debt orders or garnishee orders have been complied with by the deposit-taker (referred to in this regulation as “an outstanding amount”).
3
Where there is an outstanding amount section 32G(1) of the Act applies in respect of that amount.
4
Where a decision to revive a lump sum deduction order takes effect on the same day as or any day after a third party debt order or garnishee order has been served, the deposit-taker must take action to comply with any of those orders before making a deduction under the lump sum deduction order.
5
Paragraphs (1) to (4) do not apply to Scotland.
6
In Scotland, where a deposit-taker would, but for this paragraph, be obliged to comply with an order under section 32F of the Act, and one or more arrestment schedules (“arrestments”) it must give preference to that order and those arrestments according to the order in which they were served on the deposit-taker.
7
Where there remains an amount standing to the credit of the account specified in the order under section 32F of the Act after any arrestments have been complied with by the deposit-taker, section 32G(1) of the Act applies in respect of that amount.
8
Where a decision to revive a lump sum deduction order takes effect on the same day as or any day after any arrestments have been served, the deposit-taker must take action to comply with any of those arrestments before making a deduction under the lump sum deduction order.
Minimum amount
25Q
1
A deduction must not be made where the amount standing to the credit of the account specified in the lump sum deduction order is below the minimum amount on the date the deduction is due to be made.
2
The minimum amount is £55 plus the amount of administrative costs authorised by regulation 25Z(b) (administrative costs).
Variation of a lump sum deduction order
25R
1
The Commission may, in the circumstances set out in paragraph (2), vary a lump sum deduction order by reducing the amount specified in that order.
2
The circumstances are that —
a
the Commission accepts the liable person’s agreement to make a payment;
b
a decision has been made under section 11, 12, 16 or 17 of the Act or there has been an appeal against a maintenance calculation;
c
the Commission has consented to the doing of things that would otherwise be in breach of sections 32G(1) and 32H(2)(b) of the Act;
d
there has been an appeal made under regulation 25AB(1)(c) or (d) (appeals); or
e
representations made in respect of the proposals specified in the order made under section 32E of the Act have been accepted by the Commission.
3
Where —
a
a lump sum deduction order has been varied under this regulation; and
b
a copy of the order as varied has been served on the deposit-taker at which it is directed,
that deposit-taker must comply with the order when that order is served.
Lapse of a lump sum deduction order
25S
1
A lump sum deduction order is to lapse in the circumstances set out in paragraph (2).
2
The circumstances are where —
a
the amount in the account specified in the order under section 32E of the Act is nil;
b
in consequence of the consent given by the Commission under regulation 25N(1) (disapplication of section 32G(1) and 32H(2)(b) of the Act) the amount in the account specified in the lump sum deduction order is reduced to nil; or
c
the Commission has agreed with the liable person an alternative method of payment of the child support maintenance due under the maintenance calculation,
and the Commission considers it is reasonable in all the circumstances that the order is to lapse.
3
A lump sum deduction order lapses on the day on which the deposit-taker receives notification that the order has lapsed from the Commission.
4
A lump sum deduction order which has lapsed under this regulation is to be treated as remaining in force for the purposes of regulations 25M (period in which representations may be made), 25O (information) and 25AB (appeals).
Revival of a lump sum deduction order
25T
1
Where a lump sum deduction order has lapsed it may be revived by the Commission where —
a
in the case of an order under section 32E of the Act, the amount standing to the credit of the account specified in that order was nil and the Commission is informed in accordance with the requirement in regulation 25O(4)(b) that there is an amount at least the same as or less than the amount specified in the order standing to the credit of the account specified in the order;
b
a lump sum deduction order has lapsed under regulation 25S(2)(b) (lapse of a lump sum deduction order) and the Commission is informed in accordance with the requirement in regulation 25O(4)(b) that there is an amount at least the same as or less than the amount specified in the order, or the remaining amount, standing to the credit of the account specified in the order; or
c
in the case of an order under section 32F of the Act, there is a remaining amount and the liable person has failed to comply with the agreement referred to in regulation 25S(2)(c).
2
Where the Commission decides to revive a lump sum deduction order that decision is to take effect on the day notification that the order has been revived is received by the deposit-taker.
Discharge of a lump sum deduction order
25U
1
A lump sum deduction order must be discharged where —
a
the account specified in the order has been closed;
b
the amount of arrears of child support maintenance specified in the order has been paid in full in accordance with regulation 2 (payment of child support maintenance);
c
the liable person has paid the total amount of arrears of child support maintenance specified in the order by an alternative method agreed between the Commission and the liable person;
d
the Commission has considered representations made in respect of an order under section 32E of the Act and it has decided not to make an order under section 32F of the Act;
e
unless sub-paragraph (f) applies —
i
an order under section 32F of the Act has lapsed under regulation 25S(2) and 6 months have passed beginning on the day on which the deposit-taker received notification that the order had lapsed from the Commission, or
ii
regulation 25N(5) applies and 6 months have passed beginning on the day on which payment was made under section 32H(1)(a) of the Act;
f
an appeal is brought by virtue of regulation 25AB(1)(d) and 1 month has passed beginning on —
i
the day proceedings on the appeal (including any further appeal) concluded, or
ii
the end of any period during which a further appeal may ordinarily be brought,
whichever is the later; or
g
the liable person has died.
2
A lump sum deduction order may be discharged where the Commission considers it is appropriate to do so in the circumstances of the case.
3
A lump sum deduction order is discharged on the day notification that the order has been discharged is received by the deposit-taker.
Time at which a lump sum deduction order under section 32E of the Act ceases to be in force
25V
For the purposes of section 32E(8)(a) of the Act the prescribed period is —
a
unless paragraph (b) applies, 6 months beginning on —
i
the day the order under section 32E of the Act was served on the deposit-taker, or
ii
where that order has lapsed under regulation 25S, the day on which the deposit-taker received notification that the order had lapsed from the Commission; or
b
where an appeal is brought by virtue of regulation 25AB(1)(c) (appeal against the withholding of consent), 1 month beginning on —
i
the day proceedings on the appeal (including any further appeal) concluded, or
ii
the end of any period during which a further appeal may ordinarily be brought,
whichever is the later.
Meaning of “the relevant time”
25W
For the purposes of the meaning of “the relevant time” in section 32H(6) of the Act the prescribed circumstances are that —
a
unless to paragraph (b) applies, 6 months have passed beginning on the day the order under section 32F of the Act was served on the deposit-taker; or
b
where an appeal is brought by virtue of regulation 25AB(1)(d), 1 month has passed beginning on —
i
the day proceedings on the appeal (including any further appeal) concluded, or
ii
the end of any period during which a further appeal may ordinarily be brought,
whichever is the later.
CHAPTER 4
General Matters for Deduction Orders
Accounts of a prescribed description
25X
1
A regular deduction order or a lump sum deduction order may not be made in respect of an account which —
a
the liable person operates solely for the purposes of exercising the function of a trustee or office holder and the account is one in which all the funds are held on behalf of other persons or for the purposes of that office; or
b
is used wholly or in part for business purposes.
2
For the purposes of paragraph (1)(b), whether an account is used wholly or in part for business purposes is to be decided by the Commission.
3
Paragraph (1)(b) does not apply where a regular deduction order is made in respect of an account which is used by the liable person as a sole trader.
Circumstances in which amounts standing to the credit of an account are to be disregarded
25Y
The circumstances in which amounts standing to the credit of an account are to be disregarded for the purposes of sections 32A, 32E, 32G and 32H of the Act are where the liable person has no beneficial interest in the amount.
Administrative costs
25Z
A deposit-taker at which an order under section 32A or 32F of the Act is directed may deduct from the amount standing to the credit of the account specified in the order an amount towards its administrative costs for each deduction made, not exceeding —
a
in the case of a regular deduction order, £10; or
b
in the case of a lump sum deduction order under section 32F of the Act, £55,
before making any payment to the Commission required by section 32A or, as the case may be, section 32H of the Act.
Payment by deposit-taker to the Commission
25AA
1
Amounts deducted by a deposit-taker at which a regular deduction order or a lump sum deduction order under section 32F of the Act is directed must be paid to the Commission within —
a
in the case of a regular deduction order, 10 days of the date the regular deduction is due to be made; or
b
in the case of a lump sum deduction order under section 32F of the Act, 10 days of the end of the relevant period.
2
The payment to the Commission of amounts deducted under that order may be made by —
a
cheque;
b
automated credit transfer; or
c
such other method as the Commission may specify.
3
In this regulation “the relevant period” has the same meaning as in section 32G(5) and (6) of the Act.
Appeals
25AB
1
A qualifying person has a right of appeal to a county court or in Scotland the sheriff of the sheriffdom in which that person resides, against —
a
the making of a regular deduction order;
b
any decision made by the Commission on an application made under regulation 25G (review of a regular deduction order);
c
the withholding of the consent to be obtained in accordance with regulation 25N (disapplication of sections 32G(1) and 32H(2)(b) of the Act);
d
the making of an order under section 32F of the Act.
2
In this regulation a “qualifying person” means —
a
in relation to paragraph (1)(a) and (b), any person affected by —
i
a regular deduction order, or, as the case may be,
ii
the decision referred to in paragraph (1)(b);
b
in relation to paragraph (1)(c), the persons prescribed in regulation 25N(2); and
c
in relation to paragraph (1)(d), any person affected by an order under section 32F of the Act.
Offences
25AC
The following regulations are designated for the purposes of sections 32D(1)(b) and 32K(1)(b) of the Act —
a
regulation 25E(1) to (5) (notification by the deposit-taker to the Commission);
b
regulation 25I(4) (variation of a regular deduction order);
c
regulation 25O(1) to (5) (information);
d
regulation 25R(3) (variation of a lump sum deduction order); and
e
regulation 25AA(1) (payment by deposit-taker to the Commission).
Commission to warn of consequences of failing to comply with an order or to provide information
25AD
Where information is required by virtue of regulation 25E or 25O, the Commission must set out in writing the possible consequences of failure to —
a
comply with a regular deduction order or lump sum deduction order; and
b
provide the information required under the regulations designated by regulation 25AC(a) and (b) (offences),
including details of the offences provided for by virtue of sections 32D and 32K of the Act, as the case may be.
.
Signed by the authority of the Secretary of State for Work and Pensions.
Helen Goodman
Parliamentary Under-Secretary of State,
Department for Work and Pensions
7th July 2009


type: legislation

jurisdiction: UK

text:
PART 1 Introduction
Citation
1
These Rules may be cited as the Bank Administration (England and Wales) Rules 2009.
Commencement
2
These Rules come into force on 25th February 2009.
Extent
3
These Rules extend to England and Wales only.
Interpretation
4
1
The following expressions used in these Rules take their meaning from the Banking Act 2009 (in accordance with section 11 of the Interpretation Act 1978 – construction of subordinate legislation) —
a
“bank” (s. 2),
b
“bank administration” (s. 141(4)(a)),
c
“bank administration order” (s. 141(1)),
d
“bank administrator” (s. 141(1)),
e
“bridge bank” (s. 136(2)),
f
“the court” (the High Court – s. 166(1)),
g
“the FSA” (the Financial Services Authority – s. 166(2)),
h
“Objective 1” (support for commercial purchaser or bridge bank – ss. 137 & 138),
i
“Objective 1 Achievement Notice” (s. 139(4)),
j
“Objective 2” (normal administration – ss. 137 & 140),
k
“private sector purchaser” (s. 136(2)),
l
“property transfer instrument” (s. 33),
m
“residual bank” (s. 136(2)), and
n
“resolution fund order” (s. 49(3)).
2
Expressions used in the Companies Act 2006 have the same meaning as in these rules.
5
In these Rules —
a
“the FSCS ” means the scheme manager of the Financial Services Compensation Scheme (established under Part 15 of the Financial Services and Markets Act 2000 ),
b
“the Objective 1 Stage” means the period during which a bank administration order is in force before the Bank of England gives an Objective 1 Achievement Notice,
c
“the Objective 2 Stage” means the period during which a bank administration order is in force after the Bank of England gives an Objective 1 Achievement Notice,
d
a reference to personal service is a reference to personal service in accordance with Part 6 of the Civil Procedure Rules 1998 ,
e
a reference to the CPR is to the Civil Procedure Rules 1998, and
f
a reference to a witness statement (including a reference implied by the application of an enactment) is a reference to a witness statement —
i
verified by a statement of truth in accordance with Part 22 of the CPR, and
ii
if made by a bank administrator, stating that the statement is made in that capacity and giving the address at which the bank administrator works.
Overview
6
The purpose of these Rules is to prescribe a procedure for the appointment of a bank administrator, and the operation of bank administration, under Part 3 of the Banking Act 2009 in England and Wales.
Forms
7
1
This Rule applies where a provision of these Rules —
a
applies a provision of the Insolvency Rules 1986 which requires the use of a prescribed form, or
b
makes provision similar to that made by a provision of those Rules which requires the use of a prescribed form.
2
The form prescribed for the purposes of those Rules is to be used, with any modification that the person using the form thinks desirable to reflect the nature of bank administration (whether or not the modification is set out in a Practice Form issued by the Treasury for that purpose).
PART 2 Application for Bank Administration Order
Introduction
8
This Part makes specific provision for a number of aspects of applications for bank administration orders; Part 5 applies a number of provisions of the Insolvency Rules 1986 to applications for bank administration orders (with specified modifications).
Content of application
9
An application by the Bank of England for a bank administration order in respect of a bank must specify —
a
the full name of the bank,
b
any other trading names,
c
the address of the bank’s registered office,
d
an email address for the bank,
e
the address of the Bank of England, and
f
the identity of the person (or persons) nominated for appointment as bank administrator.
10
If the bank has notified the Bank of England of an address for service which is, because of special circumstances, to be used in place of the registered office, that address shall be specified under Rule 9(c).
Statement of proposed bank administrator
11
An application must be accompanied by a statement by the proposed bank administrator —
a
specifying the name and address of the person (or of each person) proposed to be appointed,
b
giving that person’s (or each person’s) consent to act,
c
giving details of the person’s (or each person’s) qualification to act as an insolvency practitioner, and
d
giving details of any prior professional relationship that the person (or any of them) has had with the bank.
Bank of England witness statement
12
1
An application for a bank administration order in respect of a bank must be accompanied by a witness statement made on behalf of the Bank of England —
a
certifying that the conditions for applying for a bank administration order, set out in section 143 of the Banking Act 2009, are met in respect of the bank,
b
stating the bank’s current financial position to the best of the Bank of England’s knowledge and belief (including actual, contingent and prospective assets and liabilities),
c
specifying any security which the Bank of England knows or believes to be held by a creditor of the bank,
d
specifying whether any security confers power to appoint an administrator under paragraph 14 of Schedule B1 to the Insolvency Act 1986 (holder of qualifying floating charge) or an administrative receiver (and whether an administrative receiver has been appointed),
e
specifying any insolvency proceedings which have been instituted in respect of the bank (including any process notified to the FSA under section 120 of the Banking Act 2009),
f
giving details of the property transfer instrument which the Bank of England has made or intends to make in respect of the bank,
g
where the property transfer instrument has not yet been made, explaining what effect it is likely to have on the bank’s financial position,
h
specifying how functions are to be apportioned where more than one person is to be appointed as bank administrator (stating, in particular, whether functions are to be exercisable jointly or concurrently), and
i
including any other material which the Bank of England thinks may help the court to decide whether to make the bank administration order.
2
The statement should identify the person maker the statement and should include the capacity in which that person makes the statement and the basis for that person’s knowledge of the matters set out in the statement.
Filing
13
The application, and its accompanying documents, must be filed with the court, together with enough copies of the application and accompanying documents for service under Rule 15.
14
Each filed copy —
a
shall have the seal of the court applied to it,
b
shall be endorsed with the date and time of filing,
c
shall be endorsed with the venue for the hearing of the application (fixed by the court under Rule 21), and
d
shall be issued to the Bank of England.
Service
15
The Bank of England shall serve the application —
a
on the bank,
b
on the person (or each of the persons) nominated for appointment as bank administrator,
c
on any person whom the Bank of England knows to be entitled to appoint an administrator under paragraph 14 of Schedule B1 to the Insolvency Act 1986 or an administrative receiver,
d
on any person who has given notice to the FSA in respect of the bank under section 120 of the Banking Act 2009 (bank insolvency: notice of preliminary steps of other insolvency procedures), and
e
if the property transfer instrument was made or is to be made under section 11(2)(b) of the Banking Act 2009 (transfer to commercial purchaser), on each transferee.
16
Service under rule 15 must be service of a sealed and endorsed copy of the application and its accompanying documents issued under Rule 14.
17
Service must be effected as soon as is reasonably practicable, having regard in particular to the need to give the bank’s representatives a reasonable opportunity to attend the hearing.
18
1
Service must be effected —
a
by personal service to an address that the person has notified to the Bank of England as an address for service,
b
by personal service to the person’s registered office (where no address for service has been notified),
c
by personal service to the person’s usual or last known principal place of business in England and Wales (where there is no registered office and no address for service has been notified), or
d
in such other manner and at such a place as the court may direct.
2
If the Bank of England knows of an email address that is habitually used for business purposes by a person on whom service is required, the Bank must (in addition to personal service) as soon as is reasonably practicable send by email an electronic copy of a sealed and endorsed copy of the application and its accompanying documents.
19
1
Service of the application shall be verified by a witness statement specifying the date on which, and the manner in which, service was effected.
2
The witness statement, with a sealed copy of the application exhibited to it, shall be filed with the court —
a
as soon as is reasonably practicable, and
b
in any event, before the hearing of the application.
Other notification
20
As soon as is reasonably practicable after filing the application the Bank of England must notify —
a
any enforcement officer or other officer whom the Bank of England knows to be charged with effecting an execution or other legal process against the bank or its property,
b
any person whom the Bank of England knows to have distrained against the bank or its property, and
c
the FSA.
Venue
21
1
The court shall fix the venue for the hearing when the application is filed.
2
In fixing the venue the court shall have regard to —
a
the desirability of the application being heard as soon as is reasonably practicable, and
b
the need for the bank’s representatives to be able to reach the venue in time for the hearing.
Hearing
22
At the hearing of the application, any of the following may appear or be represented —
a
the Bank of England,
b
the FSA,
c
the bank,
d
a director of the bank,
e
the person (or a person) nominated for appointment as bank administrator,
f
any person who has given notice to the FSA in respect of the bank under section 120 of the Banking Act 2009 (bank insolvency: notice of preliminary steps of other insolvency procedures), and
g
with the permission of the court, any other person who appears to have an interest.
The order
23
A bank administration order must be in the form specified in Rule 2.12(2) of the Insolvency Rules 1986, with such variations, if any, as the circumstances may require.
Notice of order
24
If the court makes a bank administration order, it shall send 4 sealed copies to the Bank of England.
25
The Bank of England shall as soon as is reasonably practicable send —
a
one sealed copy to the bank administrator,
b
one sealed copy to the FSA, and
c
one sealed copy to the FSCS.
Costs
26
If the court makes a bank administration order, the following are payable as an expense of the bank administration —
a
the Bank of England’s costs of making the application, and
b
any other costs allowed by the court.
PART 3 Process of Bank Administration
Introduction
27
This Part makes specific provision for a number of aspects of bank administration; Part 5 applies a number of provisions of the Insolvency Rules 1986 to bank administration (with specified modifications).
Bank administrator’s proposals: Objective 1 Stage
28
1
This Rule makes provision about the statement of proposals which the bank administrator is required to make in the Objective 1 Stage under section 147 of the Banking Act 2009.
2
In addition to the information required by section 147 the statement must include —
a
details of the court where the proceedings are and the court reference number,
b
the full name, any other trading names, the registered address and registered number of the bank,
c
details of the bank administrator’s appointment (including the date),
d
in the case of joint bank administrators, details of the apportionment of functions,
e
the names of the directors and secretary of the bank and details of any shareholdings in the bank they have,
f
an account of the circumstances giving rise to the application for the appointment of the bank administrator,
g
if a statement of the bank’s affairs has been submitted, a copy or summary of it with the bank administrator’s comments, if any,
h
if an order limiting the disclosure of the statement of affairs has been made under Rule 2.30 of the Insolvency Rules 1986 (as applied by Rule 58 below), a statement of that fact, as well as —
i
details of who provided the statement of affairs,
ii
the date of the order for limited disclosure, and
iii
the details or a summary of the details that are not subject to that order,
i
if a full statement of affairs is not provided, the names, addresses and debts of the creditors including details of any security held (or, in the case of depositors, a single statement of their aggregate debt),
j
if no statement of affairs has been submitted, details of the financial position of the bank at the latest practicable date (which must, unless the court otherwise orders, be a date not earlier than that on which the bank entered bank administration), a list of the bank’s creditors including their names, addresses and details of their debts, including any security held, (or, in the case of depositors, a single statement of their aggregate debt), and an explanation as to why there is no statement of affairs,
k
the basis upon which it is proposed that the bank administrator’s remuneration should be fixed under Rule 2.106 of the Insolvency Rules 1986 (as applied by Rule 58),
l
how the bank administrator proposes to pursue Objective 1,
m
whether the bank administrator proposes to pursue Objective 2(a) or Objective 2(b),
n
if the bank administrator proposes to pursue Objective 2(a), how it is envisaged the purpose of the bank administration will be achieved in the Objective 2 Stage,
o
if the bank administrator proposes to pursue Objective 2(b) —
i
how it is envisaged the purpose of the bank administration will be achieved in the Objective 2 Stage, and
ii
how it is proposed that the bank administration shall end (winding-up or voluntary arrangement, in accordance with section 154 of the Banking Act 2009),
p
the manner in which the affairs and business of the bank have been managed and financed since the date of the bank administrator’s appointment (including the reasons for and terms of any disposal of assets), and
q
the manner in which the affairs and business of the bank will be managed and financed if the bank administrator’s proposals are approved.
3
The statement —
a
may exclude information, the disclosure of which could seriously prejudice the commercial interests of the bank or of the bridge bank or private sector purchaser, and
b
must include a statement of any exclusion.
Bank administrator’s proposals: Objective 2 Stage
29
1
This Rule makes provision about the statement of proposals which the bank administrator is required to make under paragraph 49 of Schedule B1 to the Insolvency Act 1986 as it applies during the Objective 2 Stage (in accordance with Table 1 in section 145(6) of the Banking Act 2009).
2
The statement must include —
a
details of the court where the proceedings are and the court reference number,
b
the full name, any other trading names, the registered address and registered number of the bank,
c
details of the bank administrator’s appointment (including the date),
d
in the case of joint bank administrators, details of the apportionment of functions,
e
the names of the directors and secretary of the bank and details of any shareholdings in the bank they have,
f
an account of the circumstances giving rise to the application for the appointment of the bank administrator,
g
if a statement of the bank’s affairs has been submitted, a copy or summary of it with the bank administrator’s comments, if any,
h
if an order limiting the disclosure of the statement of affairs has been made under Rule 2.30 of the Insolvency Rules 1986 (as applied by Rule 58 below), a statement of that fact, as well as —
i
details of who provided the statement of affairs,
ii
the date of the order for limited disclosure, and
iii
the details or a summary of the details that are not subject to that order,
i
if a full statement of affairs is not provided, the names, addresses and debts of the creditors including details of any security held (or, in the case of depositors, a single statement of their aggregate debt),
j
if no statement of affairs has been submitted, details of the financial position of the bank at the latest practicable date (which must, unless the court otherwise orders, be a date not earlier than that on which the bank entered bank administration), a list of the bank’s creditors including their names, addresses and details of their debts including any security held, (or, in the case of depositors, a single statement of their aggregate debt), and an explanation as to why there is no statement of affairs,
k
the basis upon which it is proposed that the bank administrator’s remuneration should be fixed under Rule 2.106 of the Insolvency Rules 1986 (as applied by Rule 58 below),
l
details of whether (and why) the bank administrator proposes to apply to the court under section 176A(5) of the Insolvency Act 1986 (omission of distribution to unsecured creditors: as applied by Table 2 in section 145(6) of the Banking Act 2009) (unless the bank administrator intends to propose a company voluntary arrangement),
m
an estimate of the value of the prescribed part for the purposes of section 176A (unless the bank administrator intends to propose a company voluntary arrangement) certified as being made to the best of the bank administrator’s knowledge and belief,
n
an estimate of the value of the bank’s net property (unless the bank administrator intends to propose a company voluntary arrangement) certified as being made to the best of the bank administrator’s knowledge and belief,
o
whether the bank administrator proposes to pursue Objective 2(a) or Objective 2(b),
p
if the bank administrator proposes to pursue Objective 2(a), how it is envisaged the purpose of the bank administration will be achieved,
q
if the bank administrator proposes to pursue Objective 2(b) —
i
how it is envisaged the purpose of the bank administration will be achieved, and
ii
how it is proposed that the bank administration shall end (winding-up or voluntary arrangement, in accordance with section 154 of the Banking Act 2009),
r
if the bank administrator has decided not to call a meeting of creditors, the reasons,
s
the manner in which the affairs and business of the bank have been managed and financed since the date of the bank administrator’s appointment (including the reasons for and terms of any disposal of assets),
t
the manner in which the affairs and business of the bank will be managed and financed if the bank administrator’s proposals are approved, and
u
any other information which the bank administrator thinks necessary to enable creditors to decide whether or not to vote for the approval of the proposals.
3
In the case of bank administration following transfer to a bridge bank under section 12(2) of the Banking Act 2009 —
a
the statement under paragraph 49 of Schedule B1 must state whether any payment is to be made to the bank from a scheme under a resolution fund order, or
b
if that information is unavailable when the statement under paragraph 49 is made, the bank administrator must issue a supplemental statement when the information is available.
4
The statement —
a
may exclude information, the disclosure of which could seriously prejudice the commercial interests of the bank, and
b
must include a statement of any exclusion.
30
If the bank administrator thinks that the statement made under section 147 of the Banking Act 2009 in accordance with Rule 28 contains information required by Rule 29(2), the statement under paragraph 49 of Schedule B1 to the Insolvency Act 1986 (as applied by Table 1 in section 145(6) of the Banking Act 2009) may consist of the statement under section 147, with such additions, modifications and supplemental information as the bank administrator thinks necessary —
a
to comply with Rule 29(2), and
b
to bring the statement under section 147 up to date.
31
Where the court orders an extension of the period of time under paragraph 49(5) of Schedule B1 on an application by the bank administrator under paragraph 107 (as applied by Table 1 in section 145(6) of the Banking Act 2009), the bank administrator must notify the persons set out in paragraph 49(4) as soon as is reasonably practicable after the making of the order.
32
Where the bank administrator has made a statement under paragraph 52(1) of Schedule B1 (as applied by Table 1 in section 145(6) of the Banking Act 2009) and has not called an initial meeting of creditors, the proposals issued in accordance with Rule 29 above will be deemed to have been approved by the creditors (if no meeting has been requisitioned under paragraph 52(2) within the period set out in Rule 2.37(1) of the Insolvency Rules 1986 – as applied by Rule 58 below).
33
Where the bank administrator intends to apply to the court (or file a notice under paragraph 80(2) of Schedule B1 in accordance with section 153 of the Banking Act 2009) for the bank administration to cease before the statement of proposals is sent to creditors in accordance with paragraph 49 of Schedule B1, the bank administrator must, at least 10 days before making the application (or filing the notice), send to all known creditors of the bank a report containing the information required by Rule 29(2).
34
1
A bank administrator who wishes to publish a notice under paragraph 49(6) of Schedule B1 (as applied by Table 1 in section 145(6) of the Banking Act 2009) must publish the notice in such manner that the bank administrator thinks most appropriate for ensuring that the notice comes to the attention of the bank’s members.
2
The notice must —
a
state the full name of the bank,
b
state the full name and address of the bank administrator,
c
give details of the bank administrator’s appointment, and
d
specify an address to which members can write for a copy of the statement of proposals.
3
The notice must be published as soon as is reasonably practicable after the bank administrator sends the statement of proposals to the bank’s creditors but no later than 8 weeks (or such other period as may be agreed by the creditors or as the court may order) from the date that the bank entered bank administration.
Reports to creditors
35
1
“Progress report” means a report which includes —
a
details of the court where the proceedings are and the relevant court reference number,
b
full details of the bank’s name, address of registered office and companies house registered number, and other trading names of the bank,
c
full details of the bank administrator’s name and address and date of appointment, including any changes in office-holder,
d
in the case of joint bank administrators, details of the apportionment of functions,
e
details of any extensions of the initial period of appointment,
f
details of progress during the period of the report, including a receipts and payments account (as detailed in paragraph (2) below),
g
details of any assets that remain to be realised,
h
details of any amounts received from a scheme under a resolution fund order, and
i
any other information likely to be relevant to the creditors.
2
A receipts and payments account must state what assets of the bank have been realised, for what value, and what payments have been made to creditors or others.
3
The account must be in the form of an abstract showing receipts and payments during the period of the report; and where the bank administrator has ceased to act, the receipts and payments account shall include a statement as to the amount paid to unsecured creditors by virtue of the application of section 176A of the Insolvency Act 1986 (prescribed part).
4
During the Objective 1 Stage, a progress report must include details of —
a
the extent of the business of the bank that has been transferred,
b
any property, rights or liabilities that have been transferred, or which the bank administrator expects to be transferred, under a power in Part 1 of the Banking Act 2009 (special resolution regime),
c
any requirements imposed on the residual bank, for the purpose of the pursuit of Objective 1, under a power in that Part, and
d
the arrangements for managing and financing the bank during the Objective 1 Stage.
5
In complying with paragraph (4)(c) and (d) a report —
a
may exclude information, the disclosure of which could seriously prejudice the commercial interests of the bank or of the bridge bank or private sector purchaser, and
b
must include a statement of any exclusion.
36
A progress report must be produced for —
a
the first period of 6 months of the bank administration,
b
every subsequent period of 6 months, and
c
when the bank administrator ceases to act, the period from the date of the previous report (or, if there was none, from the beginning of the bank administration) until the administrator ceases to act.
37
1
The bank administrator must send a copy of each progress report within 28 days of the end of the period covered by the report, to —
a
the creditors,
b
the court,
c
the Bank of England,
d
the FSA,
e
the FSCS, and
f
the registrar of companies.
2
Instead of complying with paragraph (1)(a) the bank administrator may publish the progress report on its internet website (and take appropriate steps to draw attention to it).
3
The court may, on the bank administrator’s application —
a
extend the period specified in paragraph (1),
b
make any other order about the content of a progress report.
38
1
A bank administrator who fails to comply with Rules 36 and 37 is liable to a fine and, for continued contravention, to a daily default fine.
2
For that purpose, failure to comply with Rules 36 and 37 shall be treated in the same way as failure to comply with Rule 2.47 of the Insolvency Rules 1986.
Removal of bank administrator in Objective 1 Stage
39
1
This Rule is about an application for removal of a bank administrator made by the Bank of England during the Objective 1 Stage (in accordance with the modifications for the application of paragraph 91 of Schedule B1 to the Insolvency Act 1986 in Table 1 in section 145(6) of the Banking Act 2009).
2
The rules for service of notice of the application, other notification of the application and for the hearing shall be as for the application to appoint a bank administrator under Part 2 of these Rules.
3
But both the person proposed to be appointed as a replacement and the existing bank administrator are entitled to be served and heard.
Appointment of provisional bank administrator
40
An application to the court for the appointment of a provisional bank administrator under section 135 of the Insolvency Act 1986 (as applied by Table 2 in section 145(6) of the Banking Act 2009) may be made by the Bank of England.
41
The application must be supported by a witness statement stating —
a
why the Bank of England thinks that a provisional bank administrator should be appointed,
b
that the person to be appointed has consented to act,
c
that the person to be appointed is qualified to act as an insolvency practitioner,
d
whether, to the Bank of England’s knowledge, a company voluntary arrangement under Part 1 of the Insolvency Act 1986 has been proposed or is in force in respect of the bank,
e
whether, to the Bank of England’s knowledge, an administrative receiver is acting in respect of the bank, and
f
the Bank of England’s estimate of the value of the assets in respect of which the provisional bank administrator is to be appointed.
42
If satisfied that sufficient grounds are shown for the appointment, the court may make it on such terms as it thinks fit.
43
An order appointing a provisional bank administrator must specify the functions to be carried out in relation to the bank’s affairs.
44
If the court makes an order appointing a provisional bank administrator the court shall —
a
notify the Bank of England,
b
send 4 copies of the order to the person appointed (by email if possible), and
c
send a copy of the order to any administrative receiver of the bank.
45
1
As soon as is reasonably practicable after appointment a provisional bank administrator must send a copy of the order of appointment to —
a
the bank,
b
the FSA, and
c
the registrar of companies (together with the form specified in Rule 4.26(3)(ii) of the Insolvency Rules 1986, with such variations, if any, as the circumstances may require).
2
Notice to the bank must be given by service in accordance with Rule 18 above.
46
The Bank of England may disclose the fact and terms of an order appointing a provisional bank administrator to any person whom the Bank thinks has a sufficient business interest.
Additional joint bank administrator
47
1
The process for the appointment of an additional joint bank administrator is the same as for the initial appointment of a bank administrator.
2
The existing bank administrator (or each of them) is entitled to a copy of the application and may —
a
file written representations, and
b
be heard at the hearing.
3
An application for the appointment of an additional joint bank administrator may be made during the Objective 1 Stage only by the Bank of England.
4
Rule 58 below applies Rules 2.127 and 2.128 of the Insolvency Rules 1986 (notification and advertisement of the appointment of an additional joint administrator).
End of administration: successful rescue
48
1
This Rule supplements section 153 of the Banking Act 2009 (end of bank administration where bank administrator satisfied that Objective 2(a) has been achieved).
2
The bank administrator’s notice under paragraph 80 of Schedule B1 to the Insolvency Act 1986 (as applied by section 153) —
a
must be filed with the court in Form 2.32B (the form specified in rule 2.113 of the Insolvency Rules 1986 subject to Rule 7(2) above), and
b
must be accompanied by a final progress report.
3
The notice takes effect when the court discharges the bank administration order on the application of the bank administrator.
4
Before applying for discharge the bank administrator must send a copy of the notice under paragraph 80 of Schedule B1 and the progress report to —
a
the Bank of England,
b
the FSA,
c
the FSCS, and
d
the registrar of companies.
5
Notice under paragraph (4)(b) and (c) must be given at least 7 days’ before the hearing of the application for approval of the notice.
6
The bank administrator shall be taken to have complied with the requirements of paragraph 80(5) if, within 5 business days of filing the notice under paragraph 80 with the court, he publishes in the same manner as he published his notice of appointment, and in the Gazette, a notice specifying —
a
the full name of the bank and any other trading names,
b
the name and address of the bank administrator,
c
the date of the notice under paragraph 80, and
d
an address to which creditors can write for a copy of the notice under paragraph 80 and the final progress report.
7
The bank administrator’s application for discharge must certify compliance with the requirements of paragraph 80 and of the preceding paragraphs of this Rule.
8
If the court is satisfied that the conditions in section 153(1) of the Banking Act 2009 have been met it shall —
a
discharge the bank administration order, and
b
notify the bank administrator, who shall notify the registrar of companies.
End of administration: dissolution
49
1
This Rule supplements section 154(2)(a) of the Banking Act 2009 (bank administrator giving notice under paragraph 84 of Schedule B1 to the Insolvency Act 1986 that there are no more assets for distribution, and moving to dissolution).
2
The bank administrator’s notice under paragraph 84 —
a
must be filed with the court in Form 2.35B (the form specified in rule 2.118 of the Insolvency Rules 1986 subject to Rule 7(2) above), and
b
must be accompanied by a final progress report.
3
The notice shall not take effect until the court discharges the bank administration order on the application of the bank administrator.
4
Before applying for discharge the bank administrator must send a copy of the notice under paragraph 84 and the progress report to —
a
the registrar of companies, and
b
each person who received notice of the bank administrator’s appointment.
5
After the expiry of the period mentioned in paragraph 84(6) (and subject to extension under paragraph 84(7)) if the court discharges the bank administration order —
a
the notice takes effect as specified in paragraph 84(6),
b
the court shall notify the bank administrator, who shall notify the registrar of companies.
6
If the court makes an order under paragraph 84(7) it shall notify the bank administrator in Form 2.36B (the form specified in rule 2.118 of the Insolvency Rules 1986 subject to Rule 7(2) above), who shall notify the registrar of companies.
PART 4 Court Procedure and Practice
Introduction
50
This Part makes specific provision for a number of aspects of proceedings under Part 3 of the Banking Act 2009 (bank administration); Part 5 of these Rules applies a number of provisions of the Insolvency Rules 1986 to proceedings under the 2009 Act (with specified modifications).
Title of proceedings
51
Proceedings under Part 3 of the Banking Act 2009 shall be entitled “IN THE MATTER OF … (naming the bank to which the proceedings relate) AND IN THE MATTER OF PART 3 OF THE BANKING ACT 2009”.
Right to inspect file
52
1
The court must open and maintain a file for each set of bank administration proceedings.
2
All documents relating to the bank administration are to be placed on the file, subject to any direction of the registrar.
3
The following have the right, at all reasonable times, to inspect the court’s file in respect of bank administration proceedings —
a
the bank administrator or provisional bank administrator,
b
a person who is or was a director or officer of the bank,
c
a member of the bank,
d
any person stating himself in writing to be a creditor of the bank,
e
any person stating himself in writing to be a contributory in respect of the bank,
f
the Bank of England,
g
the FSA, and
h
the FSCS.
53
A right of inspection may be exercised on a person’s behalf by anyone authorised by him in writing.
54
Any person may, with permission of the court, inspect the court’s file in respect of bank administration proceedings.
55
A right of inspection is not exercisable in the case of documents, or parts of documents, as to which the court directs that they are not to be made open to inspection without the court’s permission; and an application for a direction may be made by —
a
the bank administrator or provisional bank administrator, or
b
any person appearing to the court to have an interest.
56
Rule 7.28(2) and (3) of the Insolvency Rules 1986 (as applied by Rule 58 below) apply in respect of the court’s file of bank administration proceedings as they apply in respect of court records.
57
Proceedings under sections 213 and 214 of the Insolvency Act 1986 (fraudulent and wrongful trading) shall be conducted in accordance with section 215 of that Act subject to the modifications specified in section 145 of the Banking Act 2009.
PART 5 Application of Insolvency Rules 1986
General application
58
The provisions of the Insolvency Rules 1986 listed in the Table in Rule 61 apply for the purposes of bank administration and applications for bank administration.
59
For that purpose the rules apply with —
a
the general modifications set out in Rule 60,
b
any specific modification set out in the Table in Rule 61, and
c
any other necessary modification.
General modifications
60
The general modifications are that —
a
a reference to an administrator or liquidator is to be treated as a reference to the bank administrator,
b
a reference to administration or liquidation is to be treated as a reference to bank administration,
c
a reference to a provisional liquidator is to be treated as a reference to a provisional bank administrator,
d
a reference to a winding-up order is to be treated as a reference to a bank administration order,
e
a reference to a petition for a winding-up order is to be treated as a reference to an application for a bank administration order,
f
a reference to insolvency proceedings is to be treated as a reference to bank administration (or proceedings for bank administration),
g
a reference to the responsible insolvency practitioner is to be treated as a reference to the bank administrator or provisional bank administrator,
h
all references to the Official Receiver are to be ignored,
i
all references to the county courts are to be ignored,
j
all references to the EC regulation or to the appointment of a member State liquidator are to be ignored,
k
a reference to the company is to be treated as a reference to the bank,
l
a reference to an affadavit is to be treated as to a witness statement verified by a statement of truth in accordance with Part 22 of the CPR,
m
a reference in the rules to a paragraph of Schedule B1 to the Insolvency Act 1986 is to be treated as a reference to that paragraph as applied and modified by section 145 of the Banking Act 2009, and
n
a reference to the Insolvency Act 1986 includes a reference to Part 3 of the Banking Act 2009.
Table of applications and specific modifications
61
This Rule contains the Table of applied provisions of the Insolvency Rules 1986 .
Rule Subject Specific modifications
Preparatory steps 2.27 Notification and advertisement of administrator’s appointment In paragraph (1), ignore “and once in such newspaper”. Ignore paragraph (2)(a) and (b). 2.28 Notice requiring statement of affairs 2.29 Verification and filing 2.30 Limited disclosure On an application for disclosure under paragraph (4) any of the following may appear and be heard, or make written representations —
the bank administrator,
the Bank of England, and
the FSA.
2.31 Release from duty to submit statement of affairs; extension of time On an application under paragraph (2) for release or extension of time any of the following may appear and be heard, or make written representations —
the bank administrator,
the Bank of England, and
the FSA.
2.32 Expenses of statement of affairs Bank administrator’s proposals and creditors’ meetings 2.33 Administrator’s proposals Rule 2.33 is not applied – but equivalent provision is made by Part 3 of these Rules. 2.34 Meetings to consider administrator’s proposals
Rule 2.34 applies in the Objective 2 Stage.
The FSA and the FSCS are added to the list in paragraph (2) of persons entitled to notice.
2.35 Creditors’ meetings generally The FSA and the FSCS are added to the list in paragraph (3) of persons to whose convenience the bank administrator is to have regard. 2.36 Chairman at meetings 2.37 Meeting requisitioned by creditors Treat the reference to the administrator’s statement of proposals as a reference to the bank administrator’s statement of proposals in accordance with Rule 29 above. 2.38 Entitlement to vote 2.39 Admission and rejection of claims 2.40 Secured creditors 2.41 Holders of negotiable instruments 2.42 Hire-purchase, conditional sale and chattel leasing agreements 2.43 Resolutions 2.44 Minutes 2.45 Revision of the administrator’s proposals In paragraph (2)(c) ignore the reference to the person making the appointment. 2.46 Notice to creditors 2.47 Reports to creditors Rule 2.47 is not applied – but equivalent provision is made by Part 3 of these Rules. 2.48 Correspondence instead of creditors’ meetings 2.49 Venue and conduct of company meeting Creditors’ committee 2.50 Constitution of committee ( A creditors’ committee cannot be established until the Objective 2 Stage – see the modifications for the application of paragraphs 50 to 58 of Schedule B1 to the Insolvency Act 1986 in Table 1 in section 145 of the Banking Act 2009. ) 2.51 Formalities of establishment 2.52 Functions and meetings of the committee 2.53 The chairman at meetings 2.54 Quorum 2.55 Committee-members’ representatives 2.56 Resignation
2.57 Termination of membership 2.58 Removal 2.59 Vacancies 2.60 Procedure at meetings 2.61 Resolutions of creditors’ committee by post 2.62 Information from administrator 2.63 Expenses of members 2.64 Members dealing with the company In respect of any application to set aside a transaction under paragraph (2) —
notice of the application must be given to the FSA, and
the FSA may appear and be heard.
2.65 Formal defects Process of administration 2.66 Application to court to dispose of charged property If an application is made during the Objective 1 Stage, then in addition to the requirements of Rule 2.66 —
the bank administrator must notify the Bank of England of the time and place of the hearing,
the Bank of England may appear, and
if an order is made the bank administrator must send a copy to the Bank of England as soon as is reasonably practicable.
2.67 Priority of expenses of administration In addition to the matters listed in Rule 2.67(1), expenses in connection with provisional bank administration are payable in the following order of priority —
the cost of any security provided by the provisional bank administrator takes priority equally with security provided by the bank administrator, and
the remuneration of the provisional bank administrator ranks next, and
any deposit lodged on an application for the appointment of a provisional bank administrator ranks next.
2.68 Distributions to creditors: introduction ( Distributions in the case of bank administration following transfer to a bridge bank under section 12(2) of the Banking Act 2009 and during the Objective 1 Stage require the Bank of England’s consent – see the modification for the application of paragraph 65 of Schedule B1 to the Insolvency Act 1986 in Table 1 in section 145 of the Banking Act 2009. ) 2.69 Debts of insolvent company to rank equally 2.70 Dividends: supplementary 2.71 Division of unsold assets 2.72 Proving a debt 2.73 Claim established by witness statement 2.74 Costs of proving 2.75 Administrator to allow inspection of proofs 2.76 New administrator: transfer of proofs 2.77 Admission and rejection of proofs for dividend 2.78 Appeal against decision on proof In respect of any application under Rule 2.78(1) or (2) —
notice of the application must be given to the FSA and, during the Objective 1 Stage, the Bank of England, and
the FSA, and the Bank of England during the Objective 1 Stage, may appear and be heard.
2.79 Withdrawal or variation of proof 2.80 Expunging of proof by the court In respect of any application under Rule 2.80(1)(b) —
notice of the application must be given to the FSA and, during the Objective 1 Stage, the Bank of England, and
the FSA, and the Bank of England during the Objective 1 Stage, may appear and be heard.
2.81 Estimate of quantum of claims 2.82 Negotiable instruments etc. 2.83 Secured creditors 2.84 Discounts 2.85 Mutual credit and set-off 2.86 Debt in foreign currency 2.87 Periodical payments 2.88 Interest 2.89 Debt payable in future 2.90 Value of security 2.91 Surrender for non-disclosure 2.92 Redemption by administrator 2.93 Test of security’s value 2.94 Realisation of security by creditor 2.95 Notice of proposed distribution The following are added to the list of those entitled to receive notice under Rule 2.95(2) —
the FSA,
the FSCS, and
during the Objective 1 Stage of a bank administration following transfer to a bridge bank under section 12(2) of the Banking Act 2009, the Bank of England.
2.96 Admission or rejection of proofs 2.97 Declaration of dividend 2.98 Notice of declaration of dividend
The following are added to the list of those entitled to receive notice under Rule 2.98(1) —
the FSA,
the FSCS, and
during the Objective 1 Stage of a bank administration following transfer to a bridge bank under section 12(2) of the Banking Act 2009, the Bank of England.
In the case of bank administration following transfer to a bridge bank under section 12(2) of the Banking Act 2009 and during the Objective 1 Stage, the particulars required by rule 2.98(2) include details of any payment made from a scheme under a resolution fund order.
2.99 Payment of dividends etc. 2.100 Notice of no dividend or no further dividend The bank administrator must copy any notice under Rule 2.100 to —
the FSA,
the FSCS, and
the Bank of England, in a case where it consented to a distribution under Rule 2.68 (as applied above).
2.101 Proof altered after payment of dividend 2.102 Secured creditors 2.103 Disqualification from dividend In respect of any application for disqualification under Rule 2.103 —
notice of the application must be given to the FSA, and
the FSA may appear and be heard.
2.104 Assignment of right to dividend 2.105 Debt payable in future The “relevant date” is the date of the bank administration order. The bank administrator 2.106 Fixing of remuneration
In the Objective 1 Stage the Bank of England shall fix the bank administrator’s remuneration in accordance with Rule 2.106(2)(a) or (b).
In the Objective 2 Stage, Rule 2.106 applies (but pending action under paragraphs (3) or (5) arrangements established by the Bank of England in the Objective 1 Stage shall continue to apply).
2.107 Recourse to meeting of creditors 2.108 Recourse to the court
In respect of remuneration fixed by the Bank of England —
Rule 2.108 applies as if references to the creditors’ committee were references to the Bank of England, and
the court shall have regard to Objective 1.
In respect of any application under Rule 2.108 —
notice of the application must be given to the FSA, and
the FSA may appear and be heard.
2.109 Creditors’ claim that remuneration is excessive Rule 2.109 applies only during the Objective 2 Stage. 4.127B and
Schedule 6
Remuneration where assets realised on behalf of chargeholder Ending administration 2.110 Final progress report
The reference to Rule 2.47 is to be treated as a reference to Rule 35 above.
In the case of bank administration following transfer to a bridge bank under section 12(2) of the Banking Act 2009 the final progress report —
must not be made until the bank administrator is satisfied that any payment likely to be made to the bank from a scheme under a resolution fund order has been made, and
must state whether any payment has been received and, if so, its amount.
2.113 Notice of end of administration Rule 2.113 is not applied – but equivalent provision is made by Part 3 of these Rules. 2.114 Application to court by administrator The reference to an application to the court under paragraph 79 of Schedule B1 to the Insolvency Act 1986 is to be treated as a reference to a notice under paragraph 80 (as applied by section 153(2) of the Banking Act 2009). 2.118 Moving from administration to dissolution Rule 2.118 is not applied – but equivalent provision is made by Part 3 of these Rules. Replacing bank administrator 2.119 Grounds for resignation During the Objective 1 Stage the Bank of England’s consent, as well as the court’s permission, is required for resignation under paragraph (2). 2.120 Notice of intention to resign The Bank of England and the FSA are added to the list of those entitled to notice under paragraph (1). 2.121 Notice of resignation 2.122 Application to court to remove administrator ( An application may be made during the Objective 1 Stage only with the Bank of England’s consent – see the modifications for the application of paragraph 88 of Schedule B1 to the Insolvency Act 1986 in Table 1 in section 145 of the Banking Act 2009. )
An application must state either —
that the Bank of England has consented to its being made, or
that the Objective 1 Stage has ended.
The FSA is added to the list of those entitled to notice under paragraph (2).
2.123 Notice of vacation of office on ceasing to be qualified 2.124 Death of administrator 2.125 Application to replace Rule 2.125 is applied during the Objective 2 Stage only (and ignoring references to paragraph 95 of Schedule B1).
( For equivalent provision about application for removal by the Bank of England during the Objective 1 Stage (in accordance with the modifications for the application of paragraph 91 of Schedule B1 to the Insolvency Act 1986 in Table 1 in section 145 of the Banking Act 2009) see Part 3 of these Rules.
2.126 Notification and advertisement of replacement 2.127 Notification and advertisement of appointment of joint administrator 2.128 Notice to registrar of companies of replacement or addition 2.129 Duties on vacating office Provisional bank administrator (see application of section 135 of the Insolvency Act 1986 in Table 2 in section 145 of the Banking Act 2009) 4.25 Appointment Rule 4.25 is not applied – but equivalent provision is made by Part 3 of these Rules. 4.25A Notice of appointment Rule 4.25A is not applied – but equivalent provision is made by Part 3 of these Rules. 4.26 Order of appointment Rule 4.26 is not applied – but equivalent provision is made by Part 3 of these Rules. 4.28 Security 4.29 Failure to give or keep up security 4.30 Remuneration Ignore paragraph (4). 4.31 Termination of appointment
An application for termination may be made by —
the provisional bank administrator, or
the Bank of England.
A provisional bank administrator’s appointment terminates on the making of a bank administration order.
Disclaimer 4.187 Notice of disclaimer (In the case of bank administration following transfer to a bridge bank under section 12(2) of the Banking Act 2009 notice may be given during the Objective 1 Stage only with the Bank of England’s consent – see the modifications for the application of section 178 of the Insolvency Act 1986 in Table 2 in section 145 of the Banking Act 2009. ) 4.188 Communication to interested persons 4.189 Additional notices 4.190 Duty to keep court informed 4.191 Application by interested party 4.192 Interest in property to be declared on request 4.193 Disclaimer presumed valid and effective 4.194 Application for exercise of court’s powers under section 181 of the Insolvency Act 1986 ( Section 181 is applied by Table 2 in section 145 of the Banking Act 2009. ) Court procedure and practice 7.1 Application of Chapter 1 of Part 7 Chapter 1 does not apply to an application for a bank administration order (which is addressed in Part 2 of these Rules). 7.2 Interpretation 7.3 Form and contents of application 7.3A Application to disapply section 176A of the Insolvency Act 1986 7.4 Filing and service of application 7.4A Notice of application under section 176A of the Insolvency Act 1986 7.5 Other hearings ex parte 7.6 Hearing of application 7.7 Use of witness statement evidence 7.8 Filing and service of witness statements 7.9 Use of reports 7.10 Adjournment of hearings; directions 7.16 Nomination and appointment of shorthand writers 7.17 Remuneration of shorthand writers 7.19 Enforcement of court orders 7.20 Orders enforcing compliance with Rules 7.21 Warrants 7.23 Warrants under section 236 7.27 Court records 7.28 Inspection of records 7.30 File of court proceedings 7.31 Right to inspect court file Rule 7.31 is not applied – but equivalent provision is made in Part 4 of these Rules. 7.32 Filing of Gazette notices and advertisements 7.33 Costs: application of the Civil Proceedings Rules 7.34 Requirement to assess costs by the detailed procedure 7.35 Procedure where detailed assessment required 7.36 Costs of execution or other process 7.38 Costs paid otherwise than out of the insolvent estate 7.39 Award of costs against responsible insolvency practitioner 7.40 Application for costs 7.41 Costs and expenses of witnesses 7.42 Final costs certificate 7.43 Persons who lack capacity to manage their affairs: introductory 7.44 Appointment of another person to act 7.45 Witness statement in support of application 7.46 Services of notices following appointment 7.47 Appeals and reviews of court orders ( Rule 7.47 is not applied so as to permit an appeal against the making of a bank administration order. ) 7.49 Procedure on appeal 7.51 Principal court rules and practice to apply ( The reference to the CPR, the practice and procedure of the High Court and of the county court is to be treated as a reference to the CPR (Part 52) .) 7.53 Right of attendance 7.54 Insolvency practitioner’s solicitor 7.55 Formal defects 7.56 Restriction on concurrent proceedings and remedies 7.58 Security in court 7.59 Payment into court 7.60 Further information and disclosure 7.61 Office copies of documents Proxies 8.1 Definition of proxy 8.2 Issue and use of forms 8.3 Use of proxies at meetings 8.4 Retention of proxies 8.5 Right of inspection of proxies 8.6 Proxy-holder with financial interest 8.7 Company representation ( The reference to section 375 of the Companies Act 1985 becomes a reference to section 323 of the Companies Act 2006. ) Examination of persons 9.1 Preliminary
Part 9 applies to applications under section 236 of the Insolvency Act 1986 (inquiry into company’s dealings) as applied by Table 2 in section 145 of the Banking Act 2009.
Treat a reference to “the insolvent” as a reference to the bank.
9.2 Form and contents of application 9.3 Order for examination 9.4 Procedure for examination 9.5 Record of examination 9.6 Costs of proceedings Declaration and payment of dividend 11.1 Preliminary 11.2 Notice of intended dividend 11.3 Final admission or rejection of proofs 11.4 Postponement or cancellation of dividend 11.5 Decision to declare dividend 11.6 Notice of declaration 11.7 Notice of no dividend or no further dividend 11.8 Proof altered after payment of dividend 11.9 Secured creditors 11.10 Disqualification from dividend 11.11 Assignment of right to dividend 11.12 Preferential creditors 11.13 Debt payable in future The “relevant date” is the date of the bank administration order. Miscellaneous and general 12.1 Regulation of specified administrative matters A reference to the Secretary of State includes a reference to the Treasury. 12.2 Costs and expenses 12.3 Provable debts 12.4 Notices 12.4A Quorum at meetings ( The reference to section 375 of the Companies Act 1985 becomes a reference to section 323 of the Companies Act 2006. ) 12.5 Evidence of proceedings at meeting 12.6 Documents issued by Secretary of State 12.8 Insolvency practitioner’s security 12.9 Time-limits 12.10 Service by post ( Rule 12.10 applies subject to express provision about service made in these Rules. ) 12.11 Service and notice: general Part 6 of the CPR applies subject to any provision of these rules. 12.12 Service outside jurisdiction Part 6 of the CPR applies with regard to service in Scotland or Northern Ireland, subject to any provision of these rules.
Where service is to take place outside the United Kingdom, where these rules provide for service, the court may direct how that service is to be effect. With regard to service otherwise, Part 6 of the CPR applies.
12.13 Confidentiality of documents 12.14 Notices sent simultaneously to same person 12.15 Right to copy documents 12.15A Charge for copy documents 12.16 Non-receipt of notice of meeting 12.17 Right to have list of creditors 12.18 False claim of status as creditor 12.20 Gazette 12.21 and Schedule 5 Punishment of offences 12.22 Notice of order under section 176A of the Insolvency Act 1986 13.1 to 13.13 Interpretation and application
Jack Straw
Lord Chancellor
17th February 2009
We concur
Steve McCabe
Dave Watts
Two of the Lords Commissioners of Her Majesty’s Treasury
23rd February 2009
I concur
Sir Andrew Morritt
The Chancellor of the High Court
19th February 2009


text:
Citation, commencement and application
1
1
These Regulations may be cited as the Local Authorities’ Traffic Orders (Procedure) (England and Wales) (Amendment) (England) Regulations 2009 and shall come into force on 1st June 2009.
2
These Regulations apply in relation to England only.
Amendment of the Local Authorities’ Traffic Orders (Procedure) (England and Wales) Regulations 1996
2
In regulation 18 of the Local Authorities’ Traffic Orders (Procedure) (England and Wales) Regulations 1996 , after paragraph (3) insert the following —
4
Nothing in this regulation requires the placing of any traffic sign on or near a road, or the maintenance of such signs, in a special enforcement area in England for the purpose of providing information to road users as to the effect of section 85 or 86 of the Traffic Management Act 2004 in that area.
5
In paragraph (4) a “special enforcement area” means an area designated as a special enforcement area by means of —
a
an order made under paragraph 1(1) or 3(1) of Schedule 10 to the Traffic Management Act 2004 ; or
b
an order which, by virtue of paragraph 1(5) or 3(5) of that Schedule, has effect as if it were an order so made.
Signed by authority of the Secretary of State for Transport
Paul Clark
Parliamentary Under Secretary of State
Department for Transport
29th April 2009


text:
Citation, commencement, interpretation and relevant authority
1
1
These Regulations may be cited as the Criminal Defence Service (Information Requests) (Prescribed Benefits) Regulations 2009 and come into force on 2nd March 2009.
2
In these Regulations —
a
“the 1992 Act ” means the Social Security Contributions and Benefits Act 1992 ;
b
“the 1999 Act ” means the Access to Justice Act 1999;
c
“the 2006 Regulations ” means the Criminal Defence Service (Financial Eligibility) Regulations 2006 ;
d
“disregarded benefit” means a benefit excluded from the calculation of gross annual income as defined in regulation 2 of the 2006 Regulations;
e
“Independent Living Funds” has the same meaning as in the 2006 Regulations;
f
“qualifying benefit” means a benefit for the purposes of regulation 5(3) of the 2006 Regulations.
3
The Legal Services Commission or a court officer or other person to whom the Commission, in accordance with section 3(4) of the 1999 Act, has delegated its functions under paragraph 2A of Schedule 3 to the 1999 Act is the relevant authority for the purposes of paragraph 6 of Schedule 3 to the 1999 Act and is referred to in these Regulations as “the relevant authority”.
Prescribed benefits
2
The benefits prescribed for the purposes of paragraph 6(2)(e) of Schedule 3 to the 1999 Act are those listed in the Table in this regulation.
Prescribed benefits
Qualifying benefit Payable under Provision
Income support The 1992 Act Section 124 Income-based jobseeker’s allowance Jobseekers Act 1995 Part I Guarantee credit State Pension Credit Act 2002 Section 1(3)(a) Income-related employment and support allowance Welfare Reform Act 2007 Section 1(2)(b)
Disregarded benefit Payable under Provision
Attendance allowance The 1992 Act Section 64 Severe disablement allowance The 1992 Act Section 68 Carer’s allowance The 1992 Act Section 70 Disability living allowance The 1992 Act Section 71 Constant attendance allowance The 1992 Act Section 104 and paragraphs 4 and 7(2) of Schedule 8 Council tax benefit The 1992 Act Section 131 Any direct payment Regulations under the Health and Social Care Act 2001 Section 57(1) Any direct payment The Community Care, Services for Carers and Children’s Services (Direct Payments) (Wales) Regulations 2004 Any exceptionally severe disablement allowance The Personal Injuries (Civilians) Scheme 1983 Any pension The Naval, Military and Air Forces etc (Disablement and Death) Service Pensions Order 2006 Any payments out of the Independent Living Funds
Other benefits Payable under Provision
Bereavement benefits The 1992 Act Sections 36, 39A and 39B Incapacity benefit The 1992 Act Section 30A Long-term incapacity benefit for widows and widowers The 1992 Act Sections 40 and 41 Industrial injuries benefit The 1992 Act Section 94 Contribution-based jobseeker’s allowance Jobseekers Act 1995 Part I Contribution-based employment and support allowance Welfare Reform Act 2007 Section 1(2)(a) Maternity allowance The 1992 Act Section 35 Statutory maternity pay The 1992 Act Part XII Statutory paternity pay The 1992 Act Part 12ZA Statutory adoption pay The 1992 Act Part 12ZB Category A and Category B retirement pension The 1992 Act Sections 44, 48A, 48B, 48BB and 51 Shared additional pension The 1992 Act Section 55A Widow’s benefit The 1992 Act Sections 37 and 38 Housing benefit The 1992 Act Section 130 Job grant, return to work credit or in-work credit Employment and Training Act 1973 Section 2
3
An information request made under paragraph 6 of Schedule 3 to the 1999 Act by the relevant authority may include a request for the disclosure of the amount the individual is receiving by way of any prescribed benefit.
Signed by authority of the Lord Chancellor
Bach
Parliamentary Under Secretary of State
Ministry of Justice
8th February 2009