Bankruptcy Act 1966

SCHEDULE 2 - INSOLVENCY PRACTICE SCHEDULE (BANKRUPTCY)  

Note: See section 4A .

PART 3 - GENERAL RULES RELATING TO ESTATE ADMINISTRATIONS  

Division 80 - Committees of inspection  

SECTION 80-20   APPOINTMENT OF COMMITTEE MEMBER BY LARGE CREDITOR  

80-20(1)    
A creditor representing at least 10 % in value of the creditors, or a group of creditors who together represent at least 10 % in value of the creditors, of a regulated debtor ' s estate may appoint a person as a member of a committee of inspection in relation to the administration of the estate.

80-20(2)    
If a creditor or a group of creditors appoints a person as a member of a committee of inspection under this section, the creditor or group of creditors may:

(a)    remove the person as a member of the committee; and

(b)    appoint another person to fill a vacancy in the office of that member of the committee.

80-20(3)    
A creditor, acting either alone or with others, is not entitled to appoint a person as a member of a committee of inspection under subsection (1) if:

(a)    the creditor votes on a resolution to appoint or remove a member of the committee under section 80-15 ; or

(b)    the creditor, acting either alone or with others, appoints a member of the committee under subsection 80-25(1) ; or

(c)    the creditor, acting either alone or with others, has already appointed a member of the committee under subsection (1) of this section.