Corporate Talk WA

The appointment of a receiver is usually the first step in a company’s path to receivership . All of their assets and the parts of or the whole business itself may be sold off to recover debts. Who Does the Appointing? A secured creditor (usually a bank) will apply for the appointment of a receiver so that assets may be sold to repay a debt owed to them. The receiver’s duty is to the secured creditor however they may inform other creditors of their appointment. A receiver must distribute funds in the order required by law and report to ASIC any possible offences or irregularities they have found. They are responsible for gaining market price or the best price possible for assets when liquidating. Role of Receivers and Receiver/Managers Depending on the business, a creditor may appoint a receiver or a receiver manager. A receiver manager is responsible for liquidating assets as well as managing the business. Divisions of a company may be sold off. The powers of a receiver ...

When individuals are in dire financial hardship, it can seem like declaring bankruptcy is the only way out, however, there are other options. A Part X Personal Insolvency Agreement (PIA) may allow for some debts to be written off and for payment terms to be negotiated on the remaining debt. What does a PIA usually include? A Personal Insolvency Agreement can include unsecured debts including: Personal Loans Store Cards Credit Cards Utility Bills Phone and Internet Bills Legal and Accounting Debts Joint debts can be included in the agreement, however, creditors can attempt to reclaim the funds from the other person. Secured debts cannot be included in an agreement including: Mortgages (house is security) Car Loans (where car is security)  Rent to Buy or Hire Purchase (goods held as security) Consequences of a PIA The names of people entering into a PIA appears on the National Personal Insolvency Index permanently and on their credit file for approximately...