§ Mr. MitchellTo ask the Secretary of State for Trade and Industry what plans he has to introduce(a) legislation and (b) a code of practice that will prohibit accountants acting as a reporting accountants for banks from acting as receivers and liquidators of the businesses upon which they have reported.1126483]
§ Dr. HowellsThe question of whether reporting or investigating accountants should be permitted to accept subsequent appointment as administrative receivers of the company concerned has been considered by the working group established to undertake a review of company rescue and business reconstruction mechanisms. The report of the working group will be published for further consultation in due course.
A bank does not have any inherent right to appoint a liquidator. Where the company is insolvent, this is usually a matter for the general body of the company's unsecured creditors.
§ Mr. MitchellTo ask the Secretary of State for Trade and Industry if he will list the fees collected by the receivers and liquidators of BCCI.[126491]
§ Dr. HowellsThe liquidators of Bank of Credit and Commerce International SA in England and Wales make an annual report to the Secretary of State pursuant to Regulation 14 of the Insolvency Regulations 1994. The report is made up to the anniversary of the making of the winding up order against the company. The latest report submitted covers the period to 15 January 1999 and shows that the total liquidators' remuneration paid to that date was US$244.5 million. Such remuneration has been approved either by the court or the Liquidation Committee of creditors.
A report for the period to 15 January 2000 is expected to be submitted shortly. Copies of the liquidators' report are available to creditors of the company.