Insolvency, Restructuring and Dissolution Act 2018 · 2020 Revised Edition · Part 8 · Winding Up
151. Constitution and proceedings of committee of inspection
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The committee of inspection must consist of creditors and contributories of the company, or persons holding —
company
“company” has the meaning given by section 4(1) of the Companies Act 1967;
general powers of attorney from creditors or contributories; or
special authorities from creditors or contributories authorising the persons named in those special authorities to act on such a committee,being creditors, contributories or persons (as the case may be) appointed by the meetings of creditors and contributories in such proportions as are agreed or, in case of difference, as are determined by the Court.
The committee of inspection may meet at such times and places as it may from time to time appoint, and the liquidator or any member of the committee may also call a meeting of the committee as he or she thinks necessary.
liquidator
“liquidator” includes the Official Receiver when acting as the liquidator of a corporation;
The committee of inspection may act by a majority of its members present at a meeting, but must not act unless a majority of the committee is present.
A member of the committee of inspection may resign by notice in writing signed by him or her and delivered to the liquidator.
member
“member”, in relation to a company, means a member of a company mentioned in section 19(6) or (6A) of the Companies Act 1967;
The office of a member of the committee of inspection becomes vacant if —
the member becomes bankrupt;
the member assigns his or her estate for the benefit of his or her creditors;
the member makes an arrangement with his or her creditors under this Act; or
the member is absent from 5 consecutive meetings of the committee without the permission of the other members of the committee who represent the creditors (where the member represents creditors) or the contributories (where the member represents contributories).
A member of the committee of inspection may be removed by an ordinary resolution at a meeting of creditors (where the member represents creditors), or of contributories (where the member represents contributories), if notice of the meeting has been given at least 7 days before the date of the meeting, stating the object of the meeting.
ordinary resolution
“ordinary resolution” means a resolution passed by a majority in value of the creditors present personally or by proxy at a meeting of creditors and voting on the resolution;
A vacancy in the committee of inspection may be filled by the appointment by the committee of the same or another creditor or contributory or person holding a general power of attorney or special authority as specified in subsection (1).
creditor
“creditor”, in relation to a debtor proposing a voluntary arrangement under Part 14, means a creditor to whom the debtor owes a debt provable in bankruptcy;
The liquidator may at any time of the liquidator’s own motion, and must within 7 days after the request in writing of a creditor or contributory, summon a meeting of creditors or of contributories, as the case requires, to consider any appointment made under subsection (7), and the meeting may confirm the appointment or revoke the appointment and appoint another creditor or contributory or person holding a general power of attorney or special authority as specified in subsection (1), as the case requires, in place of the person appointed under subsection (7).
contributory
“contributory” has the meaning given by section 4(1) of the Companies Act 1967;
The continuing members of the committee of inspection, if not less than 2, may act despite any vacancy in the committee.
In this section, “general power of attorney” includes a lasting power of attorney registered under the Mental Capacity Act 2008.
registered
“registered”, in relation to a corporation, means registered under the Companies Act 1967 or any corresponding previous enactment;