Contents
Article 1Citation and commencement#
(1)These Rules may be cited as the Insolvent Companies (Reports on Conduct of Directors) Rules (Northern Ireland) 2003.
(2)These Rules shall come into operation on 5th September 2003.
Article 2Interpretation#
In these Rules –• “the commencement date” means 5th September 2003;• “the Department” means the Department of Enterprise, Trade and Investment;• “the former Rules” means the Insolvent Companies (Reports on Conduct of Directors) Rules (Northern Ireland) 1997; and• “the Order” means the Company Directors Disqualification (Northern Ireland) Order 2002.
Article 3Revocation#
Subject to rule 8, the former Rules are hereby revoked.
Article 4Conduct reports required under Article 10A(4) of the Order#
An office-holder must prepare a conduct report required under Article 10A(1) of the Order in the Form DCR set out in the Schedule.
Article 5Enforcement of Article 10A(4) and (5) of the Order#
(1)An office-holder who without reasonable excuse fails to comply with any of the obligations imposed by Articles 10A(4) or 10A(5) of the Order is guilty of an offence and—
(a)on summary conviction of the offence, is liable to a fine not exceeding level 3 on the standard scale, and
(b)for continued contravention is liable to a daily default fine: that is to say, he is liable on a second or subsequent summary conviction of the offence to a fine of one-tenth of level 3 on the standard scale for each day on which the contravention is continued (instead of the penalty specified in sub-paragraph (a)).
(2)Article 374 of the Insolvency (Northern Ireland) Order 1989 (summary proceedings) has effect in relation to an offence under this rule as to offences under Parts II to VII of that Order.
Article 7Enforcement of Article 10(5)#
(1)This rule applies where under Article 10(5) (power to call on liquidators, former liquidators and others to provide information) the Department or the official receiver requires or has required a person –
(a)to furnish the Department or the official receiver, as the case may be, with information with respect to a person’s conduct as director or shadow director of a company, and
(b)to produce and permit inspection of relevant books, papers and other records.
(2)On the application of the Department or (as the case may be) the official receiver, the High Court may make an order directing compliance within such period as may be specified.
(3)The Rules of the Supreme Court (Northern Ireland) 1980 and the practice of the High Court apply to applications under this rule, with any necessary modifications.
(4)The High Court’s order may provide that all costs of and incidental to the application shall be borne by the person to whom the order is directed.
Article 8Transitional and saving provisions#
(1)Subject to paragraph (2), rules 4 and 5 of the former Rules shall continue to apply as if the former Rules had not been revoked when any of the events mentioned in sub-paragraphs (a), (b) or (c) of rule 4(1) of the former Rules (passing of resolution for voluntary winding up, appointment of administrative receiver, making of administration order) occurred on or after 1st January 1998 but before the commencement date.
(2)Until 5th December 2003 –
(a)the forms contained in the Schedule to the former Rules which were required to be used for the purpose of complying with those Rules, or
(b)the Form D1 or D2 as set out in the Schedule, as appropriate, or a form which is substantially similar thereto, with such variations, if any, as the circumstances may require,
may be used for the purpose of complying with rules 4 and 5 of the former Rules as applied by paragraph (1); but after that date the forms mentioned in sub-paragraph (b) shall be used for that purpose.
(3)When a period referred to in rule 7(2) of the former Rules is current immediately before the commencement date, these Rules have effect as if rule 7(2) of these Rules had been in operation when the period began and the period is deemed to expire whenever it would have expired if these Rules had not been made and any right, obligation or power dependent on the beginning, duration or end of such period shall be under rule 7(2) of these Rules as it was or would have been under the said rule 7(2) of the former Rules.
Article 9#
(1)A Minister of the Crown must from time to time—
(a)carry out a review of these Rules,
(b)set out the conclusions of the review in a report, and
(c)publish the report.
(2)The report must in particular—
(a)set out the objectives intended to be achieved by these Rules,
(b)assess the extent to which those objectives are achieved, and
(c)if those objectives remain appropriate, assess the extent to which they could be achieved in another way which involves less onerous regulatory provision.
(3)The first report under this rule must be published before the end of the period of 5 years beginning on 6th April 2016.
(4)Subsequent reports under this rule must be published at intervals not exceeding 5 years.
(5)In this regulation, “regulatory provision” has the meaning given by section 32(4) of the Small Business, Enterprise and Employment Act 2015.
Schedule
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