Judicial Management: The Key Issues, Processes and Administration. an immediate liquidation 2 The Act now contains the provisions regulating the new business rescue proceedings that have replaced judicial management. The primary difference between the two procedures is that company administration aims to help the company repay debts in order to escape insolvency (if possible), whereas liquidation … When a defaulting borrower is put into liquidation, a bank creditor may generally maintain a proof of debt for the full amount of the debt, … This procedure is intended to give effect to one of the purposes of the Act contained in section 7. Provisional liquidation Judicial management offers a temporary court-supervised business rescue plan, and provides an alternative to liquidation and the winding-up … Academia.edu is a platform for academics to share research papers. Conducting a JM Administration Practical Experiences Outcomes of Judicial Management 12 May 2014. The issues were complicated by the fact that, to some extent, the two companies under judicial management were borrower and guarantor. Ordinarily, pre-judicial management presupposes that creditors’ obligations are paid before the cancellation of the judicial management order, among other requirements. Where a company is placed under provisional judicial management, the court’s order may, in terms of s 301(1) of the Companies Act [Chapter 24:03], contain directions that while the company is under judicial management all actions, applications and execution of writs and summonses against the company be … The Judicial Management (JM) Process Application Effects of a Judicial Management Order Statement of Proposal 2. 2010 Deloitte & Touche Financial Advisory Services Pte Ltd Content 1. An independent judicial manager will be appointed to take control of the company’s affairs, business and property, in an attempt to help it survive, get a scheme of arrangement approved or a more advantageous realisation of the company’s assets versus that in a liquidation. It involves a certain number of formal steps and the overall process can take months to complete. How are the votes of creditors to be counted? What is the difference between liquidation and administration? It is important to distinguish between the two processes (final liquidation has already been discussed above). This purpose is to “provide for the efficient rescue and recovery An alternative to an application for liquidation is an application to court placing a company under judicial management. Liquidation and company administration can both be intimidating processes for company directors, as either one can lead to the end of the business. Process of Liquidation Liquidation may be final or provisional. 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