Companies (Amendment) Act, 1990

Further report by examiner.

18.—(1) Where, in the opinion of the examiner—

(a) the whole or any part of the undertaking of the company would be capable of survival as a going concern, and

(b) an attempt to continue the whole or any part of the under-taking of the company would be likely to be more advantageous to the members as a whole, and to the creditors as a whole, than a winding-up of the company, and

(c) the formulation, acceptance and confirmation of proposals for a compromise or scheme of arrangement would facilitate such survival,

the examiner shall formulate proposals for a compromise or scheme of arrangement.

(2) Notwithstanding any provision of the Companies Acts relating to notice of general meetings, (but subject to notice of not less than three days in any case) the examiner shall convene and preside at such meetings of members and creditors as he thinks proper, to consider such proposals and report thereon to the court within 42 days of his appointment or such longer period as the court may allow, in accordance with section 19 .

(3) Where, on the application of the examiner, the court is satisfied that the examiner would be unable to report to the court within the period of three months referred to in section 5 (1) but that he would be able to make a report if that period were extended, the court may by order extend that period by not more than 30 days to enable him to do so.

(4) Where the examiner has submitted a report under this section to the court and, but for this subsection, the period mentioned in section 5 (1) (and any extended period allowed under subsection (3) of this section) would expire, the court may, of its own motion or on the application of the examiner, extend the period concerned by such period as the court considers necessary to enable it to take a decision under section 24 .

(5) The examiner shall deliver a copy of his report under this section—

(a) to the company on the same day as his delivery of such report to the court, and

(b) to any interested party on written application,

provided that such delivery under paragraph (b) may, if the court so directs, be subject to the omission of such parts of the report as the court thinks fit.

(6) The court may, in particular, give a direction under subsection (5) (b) if it considers that the inclusion of certain information in the report to be delivered under that paragraph would be likely to prejudice the survival of the company, or the whole or any part of its undertaking.