The Payment and Electronic Money Institution Insolvency (Scotland) Rules 2022

1. Introductory Text

2. PART 1 Introductory Provisions

   1. 1. Citation

   2. 2. Commencement

   3. 3. Extent

   4. 4. Interpretation

   5. 5. Application of Rules

3. PART 2

   1. Application for special administration order

      1. 6. Content of application

      2. 7. Statement of proposed administrator

      3. 8. Lodging of application

      4. 9. Service of application

      5. 10. Further notification

      6. 11. The hearing

      7. 12. The special administration order

      8. 13. Expenses allowed by the court

      9. 14. Notice of special administration order

4. PART 3 Process of Special Administration

   1. CHAPTER 1 Notice of appointment and statement of affairs

      1. 15. Notification and advertisement of administrator’s appointment

      2. 16. Notice requiring statement of affairs

      3. 17. Statement of affairs: content

      4. 18. Details of the asset pool, safeguarding measures and reconciliation

      5. 19. Statement of concurrence

      6. 20. Limited disclosure

      7. 21. Release from duty to submit statement of affairs

      8. 22. Expenses of statement of affairs

      9. 23. Submission of accounts

   2. CHAPTER 2 Statement of proposals

      1. 24. Administrator’s proposals

      2. 25. Limited disclosure of the statement of proposals

   3. CHAPTER 3 Initial meeting to consider proposals

      1. 26. Initial meeting

      2. 27. Notice to officers

      3. 28. Business of the initial meeting

      4. 29. Adjournment of meeting to approve the statement of proposals

      5. 30. Revision of the statement of proposals

      6. 31. Meeting to approve the revised statement of proposals

      7. 32. Notice to creditors and customers

   4. CHAPTER 4 Meetings generally

      1. 33. Meetings generally

      2. 34. Venue

      3. 35. Notice of meeting by individual notice: when and where sent

      4. 36. Notice of meeting by individual notice: content and accompanying documents

      5. 37. Notice of meeting by advertisement only

      6. 38. Content of notice for meetings

      7. 39. Gazetting and advertisement of meetings

      8. 40. Non-receipt of notice of meeting

      9. 41. Requisition of meetings

      10. 42. Expenses of requisitioned meetings

      11. 43. Quorum at meetings

      12. 44. Chair at meetings

      13. 45. Adjournment by chair

      14. 46. Adjournment in absence of chair

      15. 47. Statements of claim and proxies in adjournment

      16. 48. Suspension

      17. 49. Venue and conduct of company meetings

   5. CHAPTER 5 Entitlement to vote at meetings

      1. 50. Entitlement to vote (creditors)

      2. 51. Calculation of voting rights (creditors)

      3. 52. Calculation of voting rights: special cases (creditors)

      4. 53. Procedure for admitting creditors’ claims for voting

      5. 54. Entitlement to vote (customers)

      6. 55. Procedure for admitting customers’ relevant funds claims for voting

      7. 56. Voting at meetings of creditors and customers

      8. 57. Requisite majorities

      9. 58. Requisite majorities at contributories’ meetings

      10. 59. Appeals against decisions under this Chapter

   6. CHAPTER 6 Correspondence and remote attendance

      1. 60. Correspondence instead of meetings

      2. 61. Remote attendance at meetings conducted in accordance with section 246A of the IA 1986

      3. 62. Action where person excluded

      4. 63. Indication to excluded person

      5. 64. Complaint

   7. CHAPTER 7 Records, returns and reports

      1. 65. Minutes

      2. 66. Returns or reports of meetings

   8. CHAPTER 8 The creditors’ committee

      1. 67. Constitution of creditors’ committee

      2. 68. Formalities of establishment

      3. 69. Functions and meetings of the creditors’ committee

      4. 70. The chair at meetings

      5. 71. Quorum

      6. 72. Creditors’ committee members’ representatives

      7. 73. Resignation

      8. 74. Termination of membership

      9. 75. Removal

      10. 76. Vacancies

      11. 77. Procedure at meetings

      12. 78. Remote attendance at meetings of creditors’ committee

      13. 79. Procedure for requests that a place for a meeting should be specified

      14. 80. Resolutions of creditors’ committees by post

      15. 81. Information from administrator

      16. 82. Expenses of members

      17. 83. Members dealing with the institution

      18. 84. Formal defects

   9. CHAPTER 9 Progress reports

      1. 85. Content of progress report

      2. 86. Sending a progress report

   10. CHAPTER 10 Proxies and corporate representation

       1. 87. Definition of proxy

       2. 88. Issue and use of forms

       3. 89. Use of proxies at meetings

       4. 90. Retention of proxies

       5. 91. Right of inspection

       6. 92. Proxy-holder with financial interest

       7. 93. Corporate representation

   11. CHAPTER 11 Disposal of charged property

       1. 94. Application to dispose of secured property

5. PART 4 Expenses of the special administration

   1. 95. Expenses to be paid out of the institution’s assets

   2. 96. Expenses to be paid out of the relevant funds

   3. 97. Pre-administration costs

   4. 98. Allocation of expenses to be paid from the relevant funds

6. PART 5 Relevant funds claims

   1. 99. Content of relevant funds claim

   2. 100. Debt in a foreign currency

   3. 101. Costs of making a claim

   4. 102. New administrator appointed

   5. 103. Admission and rejection of relevant funds claim

   6. 104. Appeal against decision on relevant funds claim

   7. 105. Withdrawal or variation of relevant funds claim

   8. 106. Exclusion of relevant funds claim by the court

7. PART 6 Objective 1

   1. CHAPTER 1 Setting a bar date and further notifications

      1. 107. Notice of the bar date

      2. 108. Notifying potential claimants after bar date has passed

   2. CHAPTER 2 Distribution plan

      1. 109. Distribution plan

      2. 110. Approval by the creditors’ committee

      3. 111. Approval by the court

      4. 112. Treatment of late claimants

8. PART 7 Claims by and distributions to creditors

   1. 113. Application and Interpretation of Part

   2. 114. Payments of dividends

   3. 115. New administrator appointed

   4. 116. Submission of claims

   5. 117. False claims or evidence

   6. 118. Evidence of Claims

   7. 119. Adjudication of Claims

   8. 120. Entitlement to draw a dividend

   9. 121. Liabilities and rights of obligants

   10. 122. Amount which may be claimed generally

   11. 123. Debts depending on contingency

   12. 124. Secured debts

   13. 125. Claims in a foreign currency

   14. 126. Administrator to allow inspection of statements of claim

   15. 127. Order of priority in distribution

   16. 128. Assets to be distributed in respect of the accounting periods

9. PART 8 The Administrator

   1. CHAPTER 1 Remuneration of the administrator

      1. 129. Remuneration of administrator

      2. 130. Appeal against fixing of remuneration

      3. 131. Claim that remuneration is excessive

   2. CHAPTER 2 Replacing the administrator

      1. 132. Grounds for resignation

      2. 133. Notice of intention to resign

      3. 134. Notice of resignation

      4. 135. Application to court to remove administrator from office

      5. 136. Notice of vacation of office when administrator ceases to be qualified

      6. 137. Administrator deceased

      7. 138. Application to replace

      8. 139. Notification and advertisement of appointment of replacement administrator

      9. 140. Notification and advertisement of appointment of joint administrator

      10. 141. Notification of new administrator

      11. 142. Administrator’s duties on vacating office

10. PART 9 End of special administration

    1. 143. Final progress reports

    2. 144. Application to court by administrator

    3. 145. Application to court by creditor

    4. 146. Notification by administrator of court order

    5. 147. Moving from special administration to dissolution

11. PART 10 Applications to court

    1. CHAPTER 1 Applications to the court under section 176A of the IA 1986

       1. 148. Application of Chapter

       2. 149. Applications under section 176A(5) of the IA 1986 to disapply section 176A(2) of the IA 1986

       3. 150. Notice of an order under section 176A(5) of the IA 1986

    2. CHAPTER 2 Formal defects

       1. 151. Power to cure defects in procedure

       2. 152. Formal defects

12. PART 11 Prohibited names

    1. 153. Preliminary

    2. 154. Application for permission under section 216(3) of the IA 1986

    3. 155. First excepted case

    4. 156. Second excepted case

    5. 157. Third excepted case

13. PART 12 Provisions of general effect

    1. CHAPTER 1 Miscellaneous and general

       1. 158. Costs, expenses etc

       2. 159. False representation of status for purpose of inspecting documents

       3. 160. Punishment of offences

    2. CHAPTER 2 The giving of notice and the supply of documents

       1. 161. Application

       2. 162. Personal delivery

       3. 163. Postal delivery of documents

       4. 164. Notice etc to authorised recipients

    3. CHAPTER 3 The giving of notice and the supply of documents to or by the administrator

       1. 165. Application

       2. 166. The form

       3. 167. Proof of sending

       4. 168. Authentication

       5. 169. Electronic delivery — general

       6. 170. Electronic delivery by administrator

       7. 171. Use of websites by administrator

       8. 172. General use of websites to deliver notices and other documents

       9. 173. Electronic delivery of special administration documents to court

       10. 174. Notice etc to joint administrators

       11. 175. Delivery of statements of claim and documentary evidence of debt

       12. 176. Electronic submission of information

       13. 177. Contents of notices to be gazetted

       14. 178. Omission of unobtainable information

       15. 179. The Gazette — general

       16. 180. Content of notices advertised other than in the Gazette

       17. 181. Non-Gazette notices — other provisions

    4. CHAPTER 4 Notifications to the registrar of companies

       1. 182. Application of Chapter 4

       2. 183. Information to be contained in all notifications to the registrar of companies

       3. 184. Notification relating to the administrator

       4. 185. Notifications relating to documents

       5. 186. Notifications relating to court orders

       6. 187. Notifications relating to other events

       7. 188. Notifications of more than one nature

       8. 189. Notifications made to other persons at the same time

    5. CHAPTER 5 Further provisions concerning documents

       1. 190. Confidentiality of documents — grounds for refusing inspection

       2. 191. Right to copy documents

       3. 192. Charges for copy documents

       4. 193. Right to have list of creditors

       5. 194. Sederunt book

       6. 195. Transfer and disposal of institution’s books, papers and other records

    6. CHAPTER 6 Periods of time and caution

       1. 196. Periods of time expressed in days

       2. 197. Periods of time expressed in months

       3. 198. Administrator’s caution

       4. 199. Service on joint administrators

    7. CHAPTER 7 Transfer of proceedings

       1. 200. Proceedings commenced in the wrong court

       2. 201. Proceedings other than special administration commenced

14. PART 13 General interpretation and application

    1. 202. Introduction

    2. 203. Venue

    3. 204. Insolvent estate and institution’s assets

    4. 205. “Debt”

    5. 206. Application of the IA 1986 and the Company Directors Disqualification Act

15. Signature

16. 1. SCHEDULE

       Punishment of offences

17. Explanatory Note