The trustee in bankruptcy, Financial Accounting

Assignment Help:

THE TRUSTEE IN BANKRUPTCY

1) Appointment of trustee

The trustee is appointed:

  • By the creditors by ordinary resolution, or
  • By the committee of inspection, if so resolved by the creditors, or
  • By the court if a trustee is not otherwise appointed within four weeks of the adjudication or within seven days of rejection of a composition or scheme.

 

A vacancy is filled in the same way, the court having power to appoint if the vacancy is not filled within three weeks. A trustee appointed by the court may be replaced by a new trustee appointed by the creditors or committee of inspection.

2) Court objections
The court may object to a trustee appointed by the creditors or committee of inspection on any of the following grounds:

  • Appointment not made in good faith by a majority in value of creditors voting;
  • Person appointed not fit to act as trustee;
  • Trustee’s relationship with bankrupt or a creditor makes it difficult for him to act impartially;
  • Misconduct or failure to render accounts or deal properly with unclaimed moneys, in a previous trusteeship.

Related Discussions:- The trustee in bankruptcy

Illustration of admission of a new partner, Illustration of Admission of a ...

Illustration of Admission of a new partner XYZ have been trading as equal partners having capital contributions of £300,000, £250,000 and £200,000 respectively.  They  agreed

Various types of accounting changes can affect the financial, Various types...

Various types of accounting changes can affect the financial statements of a business enterprise differently. Assume that the following list describes changes that have a material

IAS 40, Hi I am doing my thesis on IAS 40 and I''m sort of stuck with find...

Hi I am doing my thesis on IAS 40 and I''m sort of stuck with finding information. I need to find positive and negative international critique on the standard

Calculate total annual interest, Q. Chrissy currently has a credit card tha...

Q. Chrissy currently has a credit card that charges 15 percent interest. She usually carries a balance of about $500. Chrissy has received an offer for a new credit card with a tea

The garraty company, The Garraty Company has two bond issues outstanding.Bo...

The Garraty Company has two bond issues outstanding.Both bonds pay $100 yearly interest plus $1,000 at maturity. Bond L has a maturity of 15 years, and Bond S a maturity of 1 year.

Adjustments, provide for depreciation at 10%p.a at cost for equipment and 1...

provide for depreciation at 10%p.a at cost for equipment and 15% at book value for vehicles

Fin 501, Look closely at the stock market in Fiji. Do a trend analysis of t...

Look closely at the stock market in Fiji. Do a trend analysis of the stock market based on the following: ? The function of the stock market ? The trend analysis of the number of

Annual interest rate, Interest Rate on a one Payment Your parents will ...

Interest Rate on a one Payment Your parents will retire in 17 years. They presently have $270,000, and they think they will require $1 million at retirement. What annual intere

Good will on consolidation-consolidated balance sheet, Good will on consoli...

Good will on consolidation Good will on consolidation arises when the purchase consideration paid by the holding company is different from the value of the net assets acquired i

Adjudication order-adjudication of debtor, Adjudication order The court...

Adjudication order The court may adjudge the debtor bankrupt on the application of the O.R. or any creditor in the following cases: If the creditors so resolve at their first

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd