- Official Receiver
An officer of the Insolvency Service of the United Kingdom, the Official Receiver (OR) is an officer of the court to which he is attached. The OR is therefore answerable to the courts for carrying out the courts' orders and for fulfilling his duties under law. He also acts on directions, instructions and guidance from the Service's Inspector General or, less often, from the Secretary of State for Business, Enterprise and Regulatory Reform.
An OR has the following responsibilities:
- acting as interim receiver or provisional liquidator: At any time after a petition for an insolvency order under s122 of the Insolvency act 1986 has been presented, the court may appoint the OR as interim receiver (for an individual) or as provisional liquidator (for a company). This is to protect a debtor's property, or take control of a company' affairs, pending the outcome of the hearing of the petition;
- acting as receiver, trustee or liquidator: The OR becomes receiver and manager when a court makes a bankruptcy order against an individual. The OR becomes the first liquidator when the court makes a winding up order against a company. The OR is responsible for protecting the assets of the insolvent person or company and will take immediate steps to secure any property or other assets. If no private sector insolvency practitioner (IP) is subsequently appointed, the OR becomes the trustee of the insolvent person's estate or the liquidator or remains the liquidator of the company; and
- acting as supervisor: in a fast-track voluntary arrangement proposed by a bankrupt.
The bankrupt or the company directors must give the OR information about their own or the company's affairs. The OR will interview them, examine their financial records, and make background enquiries of others who have had dealings with them (e.g. banks, accountants etc.). In every case, the OR reports to creditors and shareholders giving details of assets and liabilities.
Depending on the nature and monetary value of the assets, the OR may arrange a meeting of the creditors (and of contributories in a winding up) to consider appointing an IP to act as trustee or liquidator in his place. Alternatively, the OR may consult the creditors and ask the Secretary of State to appoint an IP. (This is usually done when such an appointment needs to be made quickly - for instance, when there are large amounts of perishable goods).
If an IP is appointed, the OR will hand over administration. Otherwise, the OR acts as trustee or liquidator to sell the assets, distribute the proceeds to creditors, and complete the administration of the estate (mostly achieved within 12 months of the insolvency order). Whether or not the OR continues as trustee or liquidator, he remains responsible for investigating the insolvent's affairs.
The office of official receiver was established by the Bankruptcy Act 1883 (46 & 47 Vict c 52). His role was originally confined to personal bankruptcy, but it was extended to companies in compulsory liquidation by the Companies (Winding Up) Act 1890 (53 & 54 Vict c 63).
- Simplified Individual Voluntary Arrangement
- Administrative Receiverships
- Trust Deeds (only available in Scotland)
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Look at other dictionaries:
Official Receiver — index assessor Burton s Legal Thesaurus. William C. Burton. 2006 official receiver … Law dictionary
official receiver — A person deemed to be an officer of the Court who reports to the Superintendent of Bankruptcy and performs duties as specified by the Bankruptcy and Insolvency Act. This has nothing to do with Receivership (Ontario Bankruptcy Dictionary) United… … Glossary of Bankruptcy
official receiver — noun : receiver 2b(4) * * * official receiver see under ↑receive • • • Main Entry: ↑office official receiver An official appointed by a govenment agency to manage the estate of a person, company, etc declared bankrupt, until a trustee has been… … Useful english dictionary
official receiver — a person appointed to investigate and manage the affairs of a company in receivership * * * official receiver official receiver ➔ receiver * * * official receiver UK US noun [C] ► UK LAW, FINANCE RECEIVER(Cf. ↑receiver) … Financial and business terms
official receiver — OR A person appointed by the Secretary of State for Trade and Industry to act as a receiver in bankruptcy and winding up cases. The High Court and each county court that has jurisdiction over insolvency matters has an official receiver, who is an … Accounting dictionary
official receiver — OR A person appointed by the Secretary of State for Trade and Industry to act as a receiver in bankruptcy and winding up cases. The High Court and each county court that has jurisdiction over insolvency matters has an official receiver, who is an … Big dictionary of business and management
official receiver — UK / US noun [countable] Word forms official receiver : singular official receiver plural official receivers someone whose job is to manage the property of a person or company that is bankrupt (= cannot pay what they owe) … English dictionary
official receiver — /əˌfɪʃ(ə)l rɪ si:və/ noun a government official who is appointed to run a company which is in financial difficulties, to pay off its debts as far as possible, and to close it down ● The court appointed a receiver for the company. ● The company is … Marketing dictionary in english
official receiver — /əˌfɪʃ(ə)l rɪ si:və/ noun a government official who is appointed to run a company which is in financial difficulties, to pay off its debts as far as possible and to close it down ● The company is in the hands of the offical receiver … Dictionary of banking and finance
official receiver — of.ficial re ceiver n BrE someone whose job is to take care of the financial affairs of a company or a person that is ↑bankrupt … Dictionary of contemporary English