15.6 Functions and powers of an administrator

15.6 FUNCTIONS AND POWERS OF AN ADMINISTRATOR

Key functions and powers of an administrator:

1. Management and operation of the company: The administrator takes over the management and operation of the company during the administration period.
2. Investigation and assessment: The administrator conducts a thorough investigation into the company’s affairs, financial position, and prospects.
3. Formulation of proposals and plans: Based on the findings of the investigation, the administrator formulates proposals and plans to achieve the objectives of administration.
4. Communication and engagement with stakeholders: The administrator is responsible for communicating with the company’s creditors, shareholders, employees, and other stakeholders.
5. Realization of assets: The administrator has the power to sell or dispose of the company’s assets to generate funds for the benefit of creditors.
6. Proposal to creditors: The administrator prepares a proposal for a formal arrangement or restructuring plan to be presented to the company’s creditors.
7. Voting on proposals: The administrator convenes meetings of the company’s creditors to vote on the proposed arrangements or restructuring plan.