Corporations Regulations 2001

CHAPTER 5 - EXTERNAL ADMINISTRATION  

PART 5.3B - RESTRUCTURING OF A COMPANY  

Division 2 - Restructuring  

Subdivision A - Restructuring generally  

REGULATION 5.3B.05   CONSENT TO TRANSACTIONS OR DEALINGS OUTSIDE THE ORDINARY COURSE OF BUSINESS  

5.3B.05(1)    
This regulation applies if the restructuring practitioner for a company under restructuring consents to a transaction or dealing under paragraph 453L(2)(b) of the Act.

5.3B.05(2)    
The consent must be given:

(a)    in writing; or

(b)    if the restructuring practitioner is satisfied that the delay caused by giving a written consent would not be in the best interests of the company ' s creditors as a whole - orally.

5.3B.05(3)    
If the consent is given in writing, the written consent must specify any conditions imposed on the consent.

5.3B.05(4)    
If the consent is given orally, the restructuring practitioner must, within 2 business days after the day on which the consent is given:

(a)    make a written record of the consent and any conditions imposed on the consent; and

(b)    provide a copy of the written record to the company.

5.3B.05(5)    
The restructuring practitioner must keep a record of the consent for 5 years after the day on which the consent is given.

Note: Failure to comply with this subregulation is an offence: see subsection 1311(1) of the Act.