Asset Covered Securities Act, 2001

Designated or formerly designated credit institution not to be dissolved unless claims of preferred creditors have been satisfied.

86.—A designated or formerly designated credit institution may not be dissolved under an insolvency process unless the claims and rights of all preferred creditors have been fully satisfied. However, the High Court may make an order dissolving the institution if it is satisfied that the institution has no assets capable of meeting the claims and rights of those creditors.