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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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140. Objective 2: "normal" administration

(1) Objective 2 is to -

(a) rescue the residual bank as a going concern ("Objective 2(a)"), or

(b) achieve a better result for the residual bank's creditors as a whole than would be likely if the residual bank were wound up without first being in bank administration ("Objective 2(b)").

(2) In pursuing Objective 2 a bank administrator must aim to achieve Objective 2(a) unless of the opinion either -

(a) that it is not reasonably practicable to achieve it, or

(b) that Objective 2(b) would achieve a better result for the residual bank's creditors as a whole.

(3) In pursuing Objective 2(b) in bank administration following transfer to a resolution company, the bank administrator may not realise any asset unless -

(a) the asset is on a list of realisable assets agreed between the bank administrator and the Bank of England, or

(b) the Bank of England has given an Objective 1 Achievement Notice.

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