§ Mrs. GormanTo ask the Secretary of State for Trade and Industry what information is held on the number of cases in which firms in financial difficulties have been considered by administrators under the Insolvency Act 1986; in how many such cases the consideration has resulted in the company concerned carrying on in business; and in how many the company has gone into liquidation.
§ Mr. RedwoodAdministrators under the Insolvency Act 1986 have been appointed to 735 companies in England and Wales during the period 1 January 1987 to 31 March 1991.
Information on the results of those administrations is not available. However, I am aware that academic research is currently under way which, when complete, will show empirical data.
§ Mrs. GormanTo ask the Secretary of State for Trade and Industry what information he has on the fees charged by administrators considering the cases of companies in financial difficulties, under the Insolvency Act 1986.
§ Mr. RedwoodMy Department collects no such information. The remuneration of an administrator is fixed either by the creditors' committee or by the creditors714W generally, as a percentage of the value of assets dealt with, or on a time spent basis. If they fail to do so the court may fix the remuneration and adjudicate on any dispute.