HL Deb 23 October 1985 vol 467 cc1241-2

212 Page 67, line 2, leave out second 'administration order' and insert presentation of the petition on which the administration order was made'.

213 Page 67, leave out lines 7 to 9.

214 Clause 87, page 69, line 36, leave out 'within the relevant period' and insert 'at a relevant time'.

217 Page 70, leave out lines 7 to 22 and insert— (2) Subject to subsection (3) below, the time at which a floating charge is created by a company is a relevant time for the purposes of this section if the charge is created—

  1. (a) in the case of a charge which is created in favour of a person who is connected with the company, at a time in the period of two years ending with the commencement date;
  2. (b) in the case of a charge which is created in favour of any other person, at a time in the period of twelve months ending with that date; or
  3. (c) in either case, at a time between the presentation of a petition for the making of an administration order in relation to the company and the making of such an order on that petition.
(3) Where a company creates a floating charge at a time mentioned in subsection (2)(b) above and the person in favour of whom the charge is created is not connected with the company, that time shall not be relevant time for the purposes of this section unless the company—
  1. (a) is unable to pay its debts within the meaning of section 518 of the 1985 Act at that time; or
  2. (b) becomes unable to pay its debts within the meaning of that section in consequence of the transaction under which the charge is created.
 (3A) For the purposes of subsection (2) above the commencement date is—
  1. (a) in a case where this section applies by reason of the making of an administration order, the date of the presentation of the petition on which the order was made; and
  2. (b) in a case where this section applies by reason of a company's going into liquidation, the date of the commencement of the winding up.'.

333 Clause 153, page 124, line 41, leave out subsection (7) and insert— '(7) Subject to subsections (7A) and (9) below, the time at which an individual enters into a transaction at an undervalue or gives a preference is a relevant time for the purposes of this section if the transaction is entered into or the preference is given—

  1. (a) in the case of a transaction at an undervalue, at a time in the period of five years ending with the day of the presentation of the bankruptcy petition on which that individual is adjudged bankrupt;
    2. 1242
  2. (b) in the case of a preference which is not a transaction at an undervalue and is given to a person who is an associate of that individual, at a time in the period of two years ending with that day; and
  3. (c) in the case of a preference which is not a transaction at an undervalue, at a time in the period of six months ending with that day.
(7A) Where an individual enters into a transact ion at an undervalue or gives a preference at a time mentioned in paragraph (a) or (b) of subsection (7) above, not being, in the case of a transaction at an undervalue, a time less than two years before the end of the period mentioned in the said paragraph (a), that time shall not be a relevant time for the purposes of this section unless the individual—
  1. (a) is insolvent at that time; or
  2. (b) becomes insolvent in consequence of the transaction or preference;
 but the requirements of this subsection shall be presumed to be satisfied, unless the contrary is shown, in relation to any transaction at an undervalue which is entered into by an individual with a person who is an associate of his.'.