The PPP Administration Order Rules 2007

• Citation: S.I. 2007/3141
• Sections: 125

Section 1 Citation and commencement

These Rules may be cited as the PPP Administration Order Rules 2007 and shall come into force on 30th November 2007.

Section 2 Construction and interpretation

(1) In these Rules—

“the 1985 Act” means the Companies Act 1985 ;

“the 1986 Act” means the Insolvency Act 1986;

“the 1999 Act” means the Greater London Authority Act 1999;

“the 2006 Act” means the Companies Act 2006 ;

“CPR” means the Civil Procedure Rules 1998 and “CPR” followed by a Part or rule number means the Part or rule with that number in those Rules;

“ insolvency proceedings ” means any proceedings under the 1986 Act or the Insolvency Rules;

“the Insolvency Rules” means the Insolvency Rules 1986 ;

“the PPP Arbiter” means the person for the time being appointed to the office of the Public-Private Partnership Agreement Arbiter under section 225 of the 1999 Act; and

“PPP company” shall be construed in accordance with section 210(5) of the 1999 Act.

(2) Except where the context requires otherwise, references to provisions of the 1986 Act are references to those provisions as applied by section 220 to 224 of, and Schedule 14 to, the 1999 Act, construed in accordance with section 249 of the Enterprise Act 2002 .

(3) Where the PPP company is an unregistered company, any requirement to send information to the registrar of companies applies only if the company is subject to a requirement imposed by virtue of section 691(1) or 718 of the 1985 Act.

(4) Subject to paragraphs (1), (2) and (3), Part 10 of these Rules has effect for their interpretation and application.

Section 3 Extent

These Rules apply in relation to PPP companies which the courts in England and Wales have jurisdiction to wind up.

Section 4 Affidavit to support petition

Where it is proposed to apply to the court by petition for a PPP administration order to be made in relation to a PPP company, an affidavit complying with rule 5 below must be prepared and sworn by or with the authority of the Mayor (or Transport for London if it acts as his agent) with a view to its being filed in court in support of the petition.

Section 5 Contents of affidavit

(1) The affidavit shall state that the company is a PPP company within the meaning of Part 4 of the 1999 Act.

(2) The affidavit shall state one or both of the following—

(a) the deponent’s belief that the PPP company is, or is likely to become, unable to pay its debts and the grounds for that belief;

(b) that the Secretary of State has certified that it would be appropriate for him to petition for the winding up of the PPP company under section 124A (petition for winding up on grounds of public interest) of the 1986 Act and that in his view it would be just and equitable, as mentioned in that section, for the company to be wound up.

(3) There shall, in the affidavit, be provided a statement of the PPP company’s financial position, specifying (to the best of the deponent’s knowledge and belief) the assets and liabilities of the company, including contingent and prospective liabilities.

(4) Details shall be given of any security known or believed to be held by creditors of the PPP company, and whether in any case the security is such as to confer power on the holder to appoint an administrative receiver. If an administrative receiver has been appointed, that fact shall be stated.

(5) So far as within the immediate knowledge of the deponent, the affidavit shall contain details of—

(a) any petition which has been presented for the winding up of the PPP company;

(b) any application for the permission of the court to pass a resolution for the voluntary winding up of the PPP company;

(c) any application for an administration order under Part 2 of the 1986 Act in relation to the PPP company;

(d) any notice served in accordance with section 223(7) of the 1999 Act by any person intending to enforce any security over a PPP company’s property; and

(e) any step taken to enforce any such security.

(6) If there are other matters which, in the opinion of the person intending to present the petition for a PPP administration order, will assist the court in deciding whether to make such an order, those matters shall also be stated in the affidavit.

Section 6 Form of petition

(1) The petition shall be in Form PPP1 and shall state by whom it is presented and the address for service.

(2) The petition shall specify the name and address of the person proposed to be appointed as special PPP administrator; and it shall be stated that, to the best of the petitioner’s knowledge and belief, the person proposed to be appointed as special PPP administrator is qualified to act as an insolvency practitioner in relation to the PPP company.

(3) There shall be exhibited to the affidavit in support of the petition—

(a) a copy of the petition;

(b) the written consent, in Form PPP2, of the proposed special PPP administrator accepting the appointment.

Section 7 Filing of petition

(1) The petition and affidavit shall be filed in court, with a sufficient number of copies for service and use as provided by rules 8 and 10 .

(2) Each of the copies delivered shall have applied to it the seal of the court and be issued to the petitioner; and on each copy there shall be endorsed the date and time of filing.

(3) The court shall fix a venue for the hearing of the petition and this also shall be endorsed on each copy of the petition issued under paragraph (2).

(4) After the petition is filed, it is the duty of the petitioner to notify the court in writing of any insolvency proceedings affecting the PPP company, as soon as he becomes aware of them.

Section 8 Service of petition

(1) In this rule and rules 9, 10 and 11, references to the petition are to a copy of the petition issued by the court under rule 7(2) together with the affidavit in support of it and the documents (other than the copy of the petition) exhibited to the affidavit.

(2) The petition shall be served—

(a) on any person who has appointed or is or may be entitled to appoint an administrative receiver of the PPP company;

(b) on any person who has applied to the court for an administration order under Part 2 of the 1986 Act in relation to the PPP company;

(c) if an administrative receiver has been appointed, on him;

(d) if there is pending a petition for the winding up of the PPP company, on the petitioner (and also on the provisional liquidator, if any);

(e) on the person proposed for appointment as special PPP administrator;

(f) on the PPP company;

(g) on the Secretary of State.

Section 9 Notice to enforcement officer, etc

(1) The petitioner shall forthwith after filing the petition give notice of its presentation to—

(a) any enforcement officer or other officer who to his knowledge is charged with an execution or other legal process against the PPP company or its property; and

(b) any person who to his knowledge has distrained against the PPP company or its property.

(2) In the application of paragraph (1) in a case where the PPP company is a foreign company, within the meaning of paragraph 12(2) of Part 2 of Schedule 14 to the 1999 Act, the reference to property shall be taken as a reference to property situated within Great Britain.

Section 10 Manner in which service of petition is to be effected

(1) Service of the petition in accordance with rule 8 shall be effected by the petitioner, or his solicitor, or by a person instructed by him or his solicitor, not less than two days before the date fixed for the hearing.

(2) Service shall be effected as follows—

(a) on the PPP company (subject to paragraph (3)), by delivering the documents to its registered office; and

(b) on any other person (subject to paragraph (4)), by delivering the documents to his proper address,

or, in either case, in such manner as the court may direct.

(3) If delivery to the PPP company’s registered office is not practicable or if the PPP company is an unregistered company, service may be effected by delivery to the company’s last known principal place of business in England and Wales.

(4) Subject to paragraph (5), for the purposes of paragraph (2)(b), a person’s proper address is any which he has previously notified as his address for service; but if he has not notified any such address, service may be effected by delivery to his usual or last known address.

(5) In the case of a person who—

(a) is an authorised deposit taker or a former authorised institution;

(b) has appointed, or is or may be entitled to appoint, an administrative receiver of the PPP company; and

(c) has not notified an address for service,

the proper address is the address of an office of that person where, to the knowledge of the petitioner, the PPP company maintains a bank account or, where no such office is known to the petitioner, the registered office of that person, or, if there is no such office, his usual or last known address.

(6) For the purposes of paragraph (5)—

“ authorised deposit taker ” means a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; and

“ former authorised institution ” means an institution which continues to have a liability in respect of a deposit which was held in accordance with the Banking Act 1979 or the Banking Act 1987 , but is not an authorised deposit taker.

(7) References in paragraph (6) to deposits and their acceptance must be read with—

(a) section 22 of the Financial Services and Markets Act 2000;

(b) any relevant order under that section; and

(c) Schedule 2 to that Act.

Section 11 Proof of service

(1) Service of the petition shall be verified by affidavit in Form PPP3, specifying the date on which, and the manner in which, service was effected.

(2) The affidavit, with a sealed copy of the petition exhibited to it, shall be filed in court forthwith after service, and in any event not less than one day before the hearing of the petition.

Section 12 The hearing

(1) At the hearing of the petition, any of the following may appear or be represented—

(a) the Mayor;

(b) Transport for London;

(c) any person who has appointed, or is or may be entitled to appoint, an administrative receiver of the PPP company;

(d) any person who has applied to the court for an administration order under Part 2 of the 1986 Act in relation to the PPP company;

(e) if an administrative receiver has been appointed, that administrative receiver;

(f) any person who has presented a petition for the winding up of the PPP company (and the provisional liquidator, if any);

(g) the person proposed for appointment as special PPP administrator;

(h) the PPP company; and

(i) with the permission of the court, any other person who appears to have an interest justifying his appearance.

(2) If the court makes a PPP administration order, it shall be in Form PPP4.

(3) If the court makes a PPP administration order, the costs of the petitioner, and of any person appearing whose costs are allowed by the court, are payable as an expense of the administration.

Section 13 Notice and advertisement of PPP administration order

(1) If the court makes a PPP administration order, it shall forthwith give notice to the person appointed as special PPP administrator in Form PPP5.

(2) After the order is made, the special PPP administrator shall forthwith advertise its making once in the Gazette, and once in such newspaper as he thinks most appropriate for ensuring that the order comes to the notice of the PPP company’s creditors in Form PPP6.

(3) Subject to paragraph (5), the special PPP administrator shall also forthwith give notice in Form PPP7 of the making of the order—

(a) to the Mayor;

(b) to Transport for London;

(c) to any person who has appointed, or is or may be entitled to appoint, an administrative receiver of the PPP company;

(d) if an administrative receiver has been appointed, to him;

(e) if there is pending a petition for the winding up of the PPP company, to the petitioner (and to the provisional liquidator, if any);

(f) to any person who has applied to the court for an administration order under Part 2 of the 1986 Act in relation to the PPP company;

(g) to the registrar of companies; and

(h) to the Secretary of State.

(4) The court shall send two sealed copies of the order to the special PPP administrator, who shall send one of those copies accompanied by Form PPP8 to the registrar of companies in accordance with section 21(2) of the 1986 Act.

(5) If under section 9(4) of the 1986 Act the court makes any other order, it shall give directions as to the persons to whom, and how, notice of it is to be given.

Section 14 Discharge of PPP administration order

Where the PPP administration order is discharged, the special PPP administrator shall send an office copy of the order effecting the discharge to the registrar of companies in accordance with section 18(4) of the 1986 Act accompanied by Form PPP9.

Section 15 Notice requiring statement of affairs

(1) Where the special PPP administrator decides to require a statement of the PPP company’s affairs to be made out and submitted to him in accordance with section 22 of the 1986 Act, he shall send notice in Form PPP10 to each of the persons whom he considers should be made responsible under that section, requiring them to prepare and submit the statement.

(2) The persons to whom the notice is sent are referred to in this Part as “ the deponents ”.

(3) The notice shall inform each of the deponents—

(a) of the names and addresses of all others (if any) to whom the same notice has been sent;

(b) of the time within which the statement must be delivered;

(c) of the effect of section 22(6) (penalty for non-compliance) of the 1986 Act; and

(d) of the application to him, and to each of the other deponents, of section 235 (duty to co-operate with office-holder) of the 1986 Act.

(4) The special PPP administrator shall, on request, furnish each deponent with copies of Form PPP11 for the preparation of the statement of affairs.

Section 16 Verification and filing

(1) The statement of affairs shall be in Form PPP11, shall contain all the particulars required by that form and shall be verified by affidavit by the deponents (using the same form).

(2) The special PPP administrator may require any of the persons mentioned in section 22(3) of the 1986 Act to submit to him an affidavit of concurrence in Form PPP12, stating that he concurs in the statement of affairs. Where the special PPP administrator does so, he shall inform the person making the statement of affairs of that fact.

(3) An affidavit of concurrence may be qualified in respect of matters dealt with in the statement of affairs, where the maker of the affidavit is not in agreement with the deponents, or he considers the statement to be erroneous or misleading, or he is without the direct knowledge necessary for concurring with it.

(4) The statement of affairs shall be delivered to the special PPP administrator by the deponent making the affidavit (or by one of them, if more than one), together with a copy.

(5) Every affidavit of concurrence shall be delivered to the special PPP administrator by the person who makes it, together with a copy.

(6) The special PPP administrator shall file the verified copy of the statement of affairs and the affidavits of concurrence (if any) in court as soon as is reasonably practicable.

Section 17 Limited disclosure

(1) Where the special PPP administrator thinks that it would prejudice the conduct of the PPP administration for the whole or part of the statement of affairs to be disclosed, he may apply to the court for an order of limited disclosure in respect of the statement, or any specified part of it.

(2) The court may on the application order that the statement or, as the case may be, the specified part of it, be not filed in court, or that it is to be filed separately and not be open to inspection otherwise than with the permission of the court.

(3) The court’s order may include directions as to the delivery of documents to the registrar of companies and the disclosure of relevant information to other persons.

Section 18 Release from duty to submit statement of affairs; extension of time

(1) The power of the special PPP administrator under section 22(5) of the 1986 Act to give a release from the obligation imposed by that section, or to grant an extension of time, may be exercised at the special PPP administrator’s own discretion, or at the request of any deponent.

(2) A deponent may, if he requests a release or extension of time and it is refused by the special PPP administrator, apply to the court for it.

(3) The court may, if it thinks that no sufficient cause is shown for the application, dismiss it; but it shall not do so unless the deponent has had an opportunity to attend the court for a hearing without notice being served on any other party, of which he has been given at least 7 days’ notice.

(4) If the application is not dismissed under paragraph (3), the court shall fix a venue for it to be heard, and give notice to the deponent accordingly.

(5) The deponent shall, at least 14 days before the hearing, send to the special PPP administrator a notice stating the venue and accompanied by a copy of the application, and of any evidence which he (the deponent) intends to adduce in support of it.

(6) The special PPP administrator may appear and be heard on the application; and whether or not he appears, he may file a written report of any matters which he considers ought to be drawn to the attention of the court.

(7) If such a report is filed, a copy of it shall be sent by the special PPP administrator to the deponent, no later than five days before the hearing.

(8) Sealed copies of any order made on the application shall be sent by the court to the deponent and to the special PPP administrator.

(9) On any application under this rule, the applicant’s costs shall be paid in any event by him and, unless the court otherwise orders, no allowance towards them shall be made out of the assets of the PPP company.

Section 19 Expenses of statement of affairs

(1) A deponent making the statement of affairs and an affidavit in support of it shall be allowed, and paid by the special PPP administrator out of his receipts, any expenses incurred by the deponent in so doing which the special PPP administrator considers reasonable.

(2) Any decision by the special PPP administrator under this rule is subject to appeal to the court.

(3) Nothing in this rule relieves a deponent of any obligation with respect to the preparation, verification and submission of the statement of affairs, or to the provision of information to the special PPP administrator.

Section 20 Statement to be annexed to proposals

(1) Subject to paragraph (5), a statement shall be annexed by the special PPP administrator to his proposals sent under section 23(1) of the 1986 Act in Form PPP13 to the relevant persons showing—

(a) details relating to his appointment as special PPP administrator;

(b) the names of the directors and secretary of the PPP company;

(c) an account of the circumstances giving rise to the application for a PPP administration order;

(d) if a statement of affairs has been submitted, a copy or summary of it, with the special PPP administrator’s comments, if any;

(e) if no statement of affairs has been submitted, details of the financial position of the PPP company at the latest practicable date (which must, unless the court otherwise orders, be a date not earlier than that of the PPP administration order);

(f) the manner in which the affairs and business of the PPP company—

(i) have since the date of the special PPP administrator’s appointment, been managed and financed, and

(ii) will continue to be managed and financed; and

(g) such other information (if any) as the special PPP administrator thinks necessary.

(2) Subject to paragraph (5), where the special PPP administrator has cause to amend or alter his proposals, he shall send in Form PPP14 details of these revisions and the reasons for them to the relevant persons.

(3) Where the Mayor or the special PPP administrator intends to apply to the court under section 18 of the 1986 Act for a PPP administration order to be discharged at a time before the special PPP administrator has sent a statement of his proposals to the relevant persons, he shall, at least 10 days before he makes such an application, send to the relevant persons (so far as he is aware of their addresses) and to the Mayor or the special PPP administrator (as appropriate) a report containing the information required by paragraph (1)(a) to (g) of this rule.

(4) In this rule, “the relevant persons” are the members of the company and the persons referred to in section 23(2A) of the 1986 Act.

(5) Where the special PPP administrator publishes a notice in accordance with section 23(2B)(b) of the 1986 Act stating an address to which members of the PPP company should write for copies of the relevant statement to be sent to them free of charge, the special PPP administrator is not required to send a copy of the relevant statement nor such further information as this rule requires to a member of the PPP company unless that member has written to request a copy.

Section 21 Notice to members of proposals to creditors

For the purposes of section 23(2B)(b) of the 1986 Act, the notice shall be published once in the Gazette and once in the newspaper in which the making of the PPP administration order was advertised.

Section 22 Creditors’ meetings generally

(1) This rule applies to creditors’ meetings summoned by the special PPP administrator under section 14(2)(b) of the 1986 Act or pursuant to a direction of the court under section 17(3)(b) of that Act.

(2) In fixing the venue for the meeting, the special PPP administrator shall have regard to the convenience of creditors.

(3) The meeting shall be summoned for commencement between 10.00 and 16.00 hours on a business day, unless the court otherwise directs.

(4) At least 21 days’ notice of the meeting shall be given to all creditors who are known to the special PPP administrator and who had claims against the PPP company at the date of the PPP administration order. The notice in Form PPP15 shall specify the purpose of the meeting and contain a statement of the effect of rule 24(1) (entitlement to vote).

(5) With the notice summoning the meeting there shall be sent forms of proxy in Form PPP24.

(6) If within 30 minutes from the time fixed for the commencement of the meeting there is no person present to act as chairman, the meeting shall stand adjourned to the same time and place in the following week or, if that day is not a business day, to the business day immediately following.

(7) The meeting may from time to time be adjourned, if the chairman thinks fit, but not for more than 14 days from the date on which it was fixed to commence, subject to the direction of the court.

(8) If a meeting is adjourned, the special PPP administrator shall as soon as reasonably practicable notify the creditors of the venue of the adjourned meeting.

Section 23 The chairman at meetings

(1) At any meeting of creditors summoned by the special PPP administrator, the chairman shall either be the special PPP administrator or a person nominated by him in writing to act in his place.

(2) A person so nominated must be either—

(a) one who is qualified to act as an insolvency practitioner in relation to the PPP company; or

(b) an employee of the special PPP administrator or his firm who is experienced in insolvency matters.

Section 24 Entitlement to vote

(1) Subject to paragraphs (2) and (5), at a meeting of creditors in PPP administration proceedings a person is entitled to vote only if—

(a) he has given to the special PPP administrator not later than 12.00 hours on the business day before the day fixed for the meeting, details in writing of the debt which he claims to be due to him from the PPP company, and the claim has been duly admitted under the provisions of this Part; and

(b) there has been lodged with the special PPP administrator any proxy which he intends to be used on his behalf.

Details of the debt must include any calculation for the purposes of rules 26 to 29.

(2) The chairman of the meeting may allow a creditor to vote, notwithstanding that he has failed to comply with paragraph (1)(a), if satisfied that the failure was due to circumstances beyond the creditor’s control.

(3) The special PPP administrator or, if other, the chairman of the meeting may call for any document or other evidence to be produced to him, where he thinks it necessary for the purpose of substantiating the whole or any part of the claim.

(4) Votes are calculated according to the amount of a creditor’s debt as at the date of the PPP administration order, deducting any amounts paid in respect of the debt after that date.

(5) A creditor shall not vote in respect of a debt for an unliquidated amount, or any debt whose value is not ascertained, except where the chairman agrees to put upon the debt an estimated minimum value for the purpose of entitlement to vote and admits the claim for that purpose.

(6) No vote shall be cast by virtue of a claim more than once on any resolution put to the meeting.

Section 25 Admission and rejection of claims

(1) At any creditors’ meeting the chairman has power to admit or reject a creditor’s claim for the purpose of his entitlement to vote; and the power is exercisable with respect to the whole or any part of the claim.

(2) The chairman’s decision under this rule, or in respect of any matter arising under rule 24, is subject to appeal to the court by any creditor.

(3) If the chairman is in doubt whether a claim should be admitted or rejected, he shall mark it as objected to and allow the creditor to vote, subject to his vote being subsequently declared invalid if the objection to the claim is sustained.

(4) If on appeal the chairman’s decision is reversed or varied, or a creditor’s vote is declared invalid, the court may order that another meeting be summoned, or make such other order as it thinks just.

(5) Neither the special PPP administrator nor any person nominated by him to be chairman is personally liable for costs incurred by any person in respect of an appeal to the court under this rule, unless the court makes an order to that effect.

Section 26 Secured creditors

At a meeting of creditors, a secured creditor is entitled to vote only in respect of the balance (if any) of his debt after deducting the value of his security as estimated by him.

Section 27 Holders of negotiable instruments

A creditor shall not vote in respect of a debt on, or secured by, a current bill of exchange or promissory note, unless he is willing—

(a) to treat the liability to him on the bill or note of every person who is liable on it antecedent to the PPP company, and against whom a bankruptcy order has not been made (or, in the case of a company, which has not gone into liquidation), as a security in his hands; and

(b) to estimate the value of the security and, for the purpose of his entitlement to vote, to deduct it from his claim.

Section 28 Retention of title creditors

For the purpose of entitlement to vote at a creditors’ meeting in PPP administration proceedings, a seller of goods to the PPP company under a retention of title agreement shall deduct from his claim the value, as estimated by him, of any rights arising under that agreement in respect of goods in the possession of the PPP company.

Section 29 Hire-purchase, conditional sale and chattel leasing agreements

(1) Subject to paragraph (2), an owner of goods under a hire-purchase or chattel leasing agreement, or a seller of goods under a conditional sale agreement, is entitled to vote in respect of the amount of the debt due and payable to him by the PPP company as at the date of the PPP administration order.

(2) In calculating the amount of any debt for this purpose, no account shall be taken of any amount attributable to the exercise of any right under the relevant agreement in so far as the right has become exercisable solely by virtue of the presentation of the petition for a PPP administration order or any matter arising in consequence of that, or the making of the order.

Section 30 Resolutions and minutes

(1) Subject to paragraph (2), at a creditors’ meeting in PPP administration proceedings, a resolution is passed when a majority (in value) of those present and voting, in person or by proxy, have voted in favour of it.

(2) Any resolution is invalid if those voting against it include more than half in value of the creditors to whom notice of the meeting was sent and who are not, to the best of the chairman’s belief, persons connected with the PPP company.

(3) The chairman of the meeting shall cause minutes of its proceedings to be entered in the PPP company’s minute book.

(4) The minutes shall include a list of the creditors who attended (personally or by proxy).

(5) In this rule, “connected with the PPP company” has the same meaning as the phrase “connected with a company” in section 249 of the 1986 Act.

Section 31 Report to creditors

(1) Within 14 days of the end of every period of 6 months beginning with the date of appointment of the special PPP administrator the special PPP administrator shall send to all creditors of the PPP company a report on the progress of the administration until he vacates office.

(2) On vacating office the special PPP administrator shall send to creditors a report on the administration up to that time.

(3) Paragraph (2) does not apply where the PPP administration is immediately followed by the PPP company going into liquidation, nor when the special PPP administrator is removed from office by the court or ceases to be qualified as an insolvency practitioner.

Section 32 Venue and conduct of members’ meeting

(1) Where the special PPP administrator summons a meeting of members of the PPP company, he shall fix a venue for it having regard to their convenience.

(2) The chairman of the meeting shall be the special PPP administrator or a person nominated by him in writing to act in his place.

(3) A person so nominated must be either—

(a) one who is qualified to act as an insolvency practitioner in relation to the PPP company; or

(b) an employee of the special PPP administrator or his firm who is experienced in insolvency matters.

(4) If within 30 minutes from the time fixed for commencement of the meeting there is no person present to act as chairman, the meeting shall stand adjourned to the same time and place in the following week or, if that day is not a business day, to the business day immediately following.

(5) Subject to the above, the meeting shall be summoned and conducted as if it were a general meeting of the PPP company summoned under the company’s articles of association, and in accordance with the applicable provisions of the 1985 Act or the 2006 Act .

(6) The chairman of the meeting shall cause minutes of its proceedings to be entered in the PPP company’s minute book.

Section 33 Fixing of remuneration

(1) The special PPP administrator is entitled to receive remuneration for his services as such.

(2) The remuneration shall be fixed by reference to the time properly given by the insolvency practitioner (as special PPP administrator) and his staff in attending to matters arising in the PPP administration.

(3) The remuneration of the special PPP administrator shall be fixed by the court and the special PPP administrator shall make an application to court accordingly.

(4) The special PPP administrator shall give at least 14 days’ notice of his application to the following, who may appear or be represented—

(a) the Mayor;

(b) Transport for London;

(c) the creditors of the PPP company; and

(d) the Secretary of State.

(5) In fixing the remuneration, the court shall have regard to the following matters—

(a) the complexity (or otherwise) of the case;

(b) any respects in which, in connection with the PPP company’s affairs, there falls on the special PPP administrator any responsibility of an exceptional kind or degree;

(c) the effectiveness with which the special PPP administrator appears to be carrying out, or to have carried out, his duties as such; and

(d) the value and nature of the property with which he has to deal.

(6) Where there are joint special PPP administrators, it is for them to agree between themselves as to how the remuneration payable should be apportioned. Any dispute arising between them may be referred to the court for settlement by order.

(7) If the special PPP administrator is a solicitor and employs his own firm, or any partner of that firm, to act on behalf of the PPP company, profit costs shall not be paid unless this is authorised by the court.

Section 34 Disposal of charged property, etc

(1) The following applies where the special PPP administrator applies to the court under section 15(2) of the 1986 Act for authority to dispose of property of the PPP company which is subject to a security, or goods in the possession of the PPP company under an agreement, to which that subsection relates.

(2) The court shall fix a venue for the hearing of the application, and the special PPP administrator shall forthwith give notice of the venue to the person who is the holder of the security or, as the case may be, the owner under the agreement.

(3) If an order is made under the said section 15(2), the special PPP administrator shall forthwith give notice of it to that person or owner and to the registrar of companies in Form PPP16.

(4) The court shall send two sealed copies of the order to the special PPP administrator, who shall send one of them to that person or owner.

Section 35 Abstract of receipts and payments

(1) The special PPP administrator shall—

(a) within 2 months after the end of 6 months from the date of his appointment, and of every subsequent period of 6 months; and

(b) within 2 months after he ceases to act as special PPP administrator,

send the requisite accounts of the receipts and payments of the PPP company to the court, and to the registrar of companies.

(2) The court may, on the application of the special PPP administrator, extend the period of two months mentioned above.

(3) The accounts are to be in the form of an abstract in Form PPP17 showing—

(a) receipts and payments during the relevant period of 6 months; or

(b) where the special PPP administrator has ceased to act, receipts and payments during the period from the end of the last 6 month period to the time when he so ceased (alternatively if there has been no previous abstract, receipts and payments in the period since his appointment as special PPP administrator).

(4) The special PPP administrator is guilty of an offence if he makes default in complying with this rule and is liable on summary conviction to a fine not exceeding one-fifth of the greater of £5,000 or the amount corresponding to level 4 on the standard scale for summary offences and, for continued contravention, to a daily default fine not exceeding one-fiftieth of the greater of those amounts .

Section 36 Resignation

(1) The special PPP administrator may give notice to the court and to the registrar of companies in Form PPP18 of his resignation on grounds of ill health or because—

(a) he intends ceasing to be in practice as an insolvency practitioner; or

(b) there is some conflict of interest, or change of personal circumstances, which precludes or makes impracticable the further discharge by him of the duties of special PPP administrator.

(2) The special PPP administrator may, with the permission of the court, give notice to the court and to the registrar of companies in Form PPP19 of his resignation on grounds other than those specified in paragraph (1).

(3) The special PPP administrator must give at least 7 days’ notice of his intention to resign, or to apply for the court’s permission to do so, to—

(a) the Mayor;

(b) any continuing special PPP administrator of the PPP company; and

(c) if there is no such continuing special PPP administrator, to the PPP company and its creditors.

Section 37 Special PPP Administrator deceased

(1) Subject to paragraph (2), where the special PPP administrator has died, it is the duty of his personal representative to give notice of the fact to the court and to the registrar of companies, specifying the date of death.

(2) In the alternative, notice of the death may be given to the court and to the registrar of companies:

(a) if the deceased special PPP administrator was a partner in a firm, by a partner in the firm who is qualified to act as an insolvency practitioner, or is a member of any body recognised by the Secretary of State for the authorisation of insolvency practitioners; or

(b) by any person, if he delivers with the notice a copy of the relevant death certificate.

Section 38 Order filling vacancy

Where the court makes an order filling a vacancy in the office of special PPP administrator, the same provisions apply in respect of giving notice of, and advertising, the order as in the case of the PPP administration order under rule 13(2) and (3) (disregarding all references to forms in those paragraphs).

Section 39 Preliminary

This Chapter applies to any application made to the court in PPP administration proceedings, except a petition for a PPP administration order.

Section 40 Form and contents of application

(1) Each application shall be in writing in Form PPP20 and shall state—

(a) the names of the parties;

(b) the nature of the relief or order applied for or the directions sought from the court;

(c) the names and addresses of the persons (if any) on whom it is intended to serve the application or that no person is intended to be served;

(d) where the 1986 Act or these Rules require that notice of the application is to be given to specified persons, the names and addresses of all those persons (so far as known to the applicant); and

(e) the applicant’s address for service.

(2) The application must be signed by the applicant if he is acting in person or, when he is not so acting, by or on behalf of his solicitor.

Section 41 Filing and service of application

(1) The application shall be filed in court, accompanied by one copy and a number of additional copies equal to the number of persons who are to be served with the application.

(2) Subject as follows in this rule and in the next, or unless the rule under which the application is brought provides otherwise, or the court otherwise orders, upon the presentation of the documents mentioned in paragraph (1), the court shall fix a venue for the application to be heard.

(3) Unless the court otherwise directs, the applicant shall serve a sealed copy of the application, endorsed with the venue of the hearing, on the respondent named in the application (or on each respondent if more than one).

(4) The court may give any of the following directions—

(a) that the application be served upon persons other than those specified by the relevant provision of the 1986 Act or these Rules;

(b) that the giving of notice to any person be dispensed with;

(c) that notice be given in some way other than that specified in paragraph (3).

(5) Unless the provision of the 1986 Act or these Rules under which the application is made provides otherwise, and subject to paragraph (6), the application must be served at least 14 days before the date fixed for the hearing.

(6) Where the case is one of urgency, the court may (without prejudice to its general power to extend or abridge time limits)—

(a) hear the application immediately, either with or without notice to or the attendance of, other parties; or

(b) authorise a shorter period of service than that provided for by paragraph (5),

and any such application may be heard on terms providing for the filing or service of documents, or the carrying out of other formalities, as the court thinks fit.

Section 42 Other hearings without notice

(1) Where the relevant provisions of the 1986 Act or these Rules do not require service of the application on, or notice of it to be given to, any person, the court may hear the application without notice being served on any other party.

(2) Where the application is properly made without notice being served on any other party, the court may hear it forthwith, without fixing a venue as required by rule 41(2) .

(3) Alternatively, the court may fix a venue for the application to be heard, in which case rule 41 applies (so far as relevant).

Section 43 Hearing of application

(1) Unless allowed or authorised to be made otherwise, every application before the registrar shall, and every application before the judge may, be heard in chambers.

(2) Unless either—

(a) the judge has given a general or special direction to the contrary; or

(b) it is not within the registrar’s power to make the order required,

the jurisdiction of the court to hear and determine the application may be exercised by the registrar, and the application shall be made to the registrar in the first instance.

(3) Where the application is made to the registrar he may refer to the judge any matter which he thinks should properly be decided by the judge, and the judge may either dispose of the matter or refer it back to the registrar with such direction as he thinks fit.

(4) Nothing in this rule precludes an application being made directly to the judge in a proper case.

Section 44 Use of affidavit evidence

(1) In any proceedings evidence may be given by affidavit unless by any provision of these Rules it is otherwise provided or the court otherwise directs; but the court may, on the application of any party, order the attendance for cross-examination of the person making the affidavit.

(2) Where, after such an order has been made, the person in question does not attend, his affidavit shall not be used in evidence without the permission of the court.

Section 45 Filing and service of affidavits

(1) Unless the provisions of the 1986 Act or these Rules under which the application is made provide otherwise, or the court otherwise allows—

(a) if the applicant intends to rely at the first hearing on affidavit evidence, he shall file the affidavit or affidavits (if more than one) in court and serve a copy or copies on the respondent, not less than 14 days before the date fixed for the hearing; and

(b) where a respondent to an application intends to oppose it and to rely for that purpose on affidavit evidence, he shall file the affidavit or affidavits (if more than one) in court and serve a copy or copies on the applicant, not less than 7 days before the date fixed for the hearing.

(2) Any affidavit may be sworn by the applicant or by the respondent or by some other person possessing direct knowledge of the subject matter of the application.

Section 46 Use of reports

(1) The special PPP administrator may file a report in court instead of an affidavit, unless the application involves other parties or the court otherwise orders.

(2) In any case where a report is filed instead of an affidavit the report shall be treated for the purpose of rule 45(1) and any hearing before the court as if it were an affidavit.

Section 47 Adjournment of hearing: directions

(1) The court may adjourn the hearing of an application on such terms (if any) as it thinks fit.

(2) The court may at any time give such directions as it thinks fit as to—

(a) service or notice of the application on or to any person, whether in connection with the venue of a resumed hearing or for any other purpose;

(b) whether particulars of claims and defence are to be delivered and generally as to the procedure on the application;

(c) the manner in which any evidence is to be adduced at a resumed hearing and in particular (but without prejudice to the generality of this sub-paragraph) as to—

(i) the taking of evidence wholly or in part by affidavit or orally;

(ii) the cross-examination either before the judge or registrar on the hearing in court or in chambers, of any deponents to affidavits; and

(iii) any report to be given by the special PPP administrator; and

(d) the matters to be dealt with in evidence.

Section 48 Appointment and remuneration of shorthand writers

(1) The court may, at any time in the course of PPP administration proceedings, appoint a shorthand writer to take down the evidence of a person examined in the course of those proceedings in Form PPP21. Any shorthand writer so appointed shall complete a declaration in Form PPP22.

(2) The remuneration of a shorthand writer appointed in PPP administration proceedings shall be paid by the party who requested that the court make such an appointment, or out of the assets of the PPP company, or otherwise, as the court may direct.

(3) Any question arising as to the rates of remuneration payable under this rule shall be determined by the court in its discretion.

Section 49 Enforcement of court orders

In any PPP administration proceedings, orders of the court may be enforced in the same manner as a judgment to the same effect.

Section 50 Orders enforcing compliance with these Rules

(1) The court may, on application by the special PPP administrator, make such orders as it thinks necessary for the enforcement of obligations falling on any person in accordance with section 22 (statement of affairs to be submitted to administrator) or section 235 (duty to co-operate with office-holder) of the 1986 Act.

(2) An order of the court under this rule may provide that all costs of and incidental to the application for it shall be borne by the person against whom the order is made.