iscover ASIC issues new guidance for liquidators
TaxThe corporate regulator has issued new guidance for registered liquidators which covers registration, disciplinary action and insurance.
This guide is for individuals who are or wish to become registered liquidators under Schedule 2 to the Corporations Act 2001 (Corporations Act).
You can access the full guidance here.
The guidance explains how to apply for registration as a liquidator, particularly including the requirements that a person must meet to become a registered liquidator.
ASIC also explains the renewal of the registration process in this new guidance, and its policy on adequate and appropriate insurance.
Importantly, ASIC details the disciplinary actions a liquidator may be subject to if they fall foul of the regulations.
ASIC continues to take a stern approach to compliance, noting, for example, that it may direct a registered liquidator to comply with a lodgement requirement or to give information or documents.
If the direction is not complied with, ASIC may give a further direction not to accept further appointments or may apply to a court for orders directing compliance.
It remains that registration may be cancelled or suspended by ASIC. For example, if a registered liquidator becomes an insolvent under administration, registration is automatically cancelled.
