ASIC has updated Information Sheet 29 External administration – controller appointments and schemes of arrangements – most commonly lodged forms (INFO 29) to help external administrators, controllers and scheme administrators comply with their lodgement and publication requirements following the introduction of three new types of external administration.
The new external administration types have been in effect since 1 January 2021 and were introduced as part of changes made to the Corporations Act by the Corporations Amendment (Corporate Insolvency Reforms) Act 2020 and related other legislation to assist small business given the impact of COVID-19 on these entities.
Revised INFO 29 will also assist small business owners operating through companies to access the new types of external administration and understand the steps involved. In addition, the guidance will assist creditors who are exposed to the new types of external administration for the first time and help them understand whether the correct process is being followed.
The guidance has been re-issued following consultation with the Australian Restructuring Insolvency Turnaround Association (ARITA).
The following three new flowcharts have been included in INFO 29:
- Flowchart 2A – Liquidator in a creditors’ voluntary winding up (simplified liquidation process)
- Flowchart 14 – Restructuring practitioner of a company
- Flowchart 15 – Restructuring practitioner of a restructuring plan for a company.