Policy proposal on liquidator registration

THE Australian Securities and Investments Commission has released a policy proposal paper on external administration covering liquidator registration.

The paper sets out how ASIC proposes to amend the way it administers the Corporations Act to register suitably qualified persons as liquidators and official liquidators and how applications for registration as a liquidator should be made.

It also explains the ongoing obligations of registered liquidators under the act and outlines ASIC’s expectations in relation to the way in which registered liquidators perform these obligations.

The policy proposals in the paper are intended to replace ASIC’s policy on the registration of official liquidators.

ASIC Commissioner Berna Collier said it had been many years since ASIC’s policy on liquidator registration had been reviewed.

"These proposals are aimed at ensuring our approach to the requirements for registration adequately reflects current insolvency practice, the complexity of the work applicants for registration as a liquidator will be able to undertake once they become registered and our experience in administering these provisions," Professor Collier said.

Copies of the policy proposal paper may be obtained from the ASIC web site on www.asic.gov.au or by calling 1300 300 630.

Written submissions are due by November 30.