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Version status: In force | Document consolidation status: Updated to reflect all known changes
Version date: 16 December 2016 - onwards
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136. Overview

(1) This Part provides for a procedure to be known as bank administration.

(2) The main features of bank administration are that -

(a) it is used where part of the business of a bank is sold to a commercial purchaser in accordance with section 11 or transferred to a resolution company in accordance with section 12 or 12ZA (and it can also be used in certain cases of multiple transfers under Part 1),

(b) the court appoints a bank administrator on the application of the Bank of England,

(c) the bank administrator is able and required to ensure that the non-sold or non-transferred part of the bank ("the residual bank") provides services or facilities required to enable the commercial purchaser ("the private sector purchaser") or the transferee ("the resolution company") to operate effectively, and

(d) in other respects the process is the same as for normal administration under the Insolvency Act 1986, subject to specified modifications.

(3) The Table describes the provisions of this Part.

Comparing proposed amendment...