With COVID-19 causing ever increasing financial uncertainty around the globe, we thought it an apt time to provide you with a summary of the various corporate insolvency procedures in the UK applicable to companies facing financial difficulties. Taking each in turn, we will discuss administration, administrative receivership, company voluntary arrangements, schemes of arrangement and liquidation. We will also touch briefly on directors’ duties, rules relating to asset distribution on insolvency and transactions that may be set aside on insolvency or ‘reviewable’ transactions.
Continue Reading Insolvency & Insolvency Procedures in the UK – Revisit

金杜律师事务所破产、重组和清算

司法实践中,在债务人破产(包括破产清算、重整与和解,下同)程序中,管理人常常会遇到债权人的债权人向相关法院提出申请,要求执行债权人在债务人破产程序中可获得的分配权益。具体的做法是:

债务人破产程序中,在受理破产案件的法院裁定确认各家债权人的债权之后,债权人的债权人申请法院(该法院不一定是受理破产案件的法院),对债权人在债务人破产程序中可受偿的权益予以执行;受理执行案件的法院则根据债权人的债权人之申请,出具民事裁定书,向债务人破产程序中的管理人发出协助执行通知,要求冻结债权人在债务人破产程序中的可分配权益,并要求管理人在对债权人进行分配时,将应当分配给债权人的资产的全部或者一部分,直接支付给提出执行申请的债权人的债权人,或是直接支付至受理执行案件的法院,再由受理执行案件的法院转给提出申请的债权人的债权人。


Continue Reading 债权人的债权人对债权人在债务人破产程序中的可分配权益可否冻结和执行

From 2003-2007, over US$100 billion poured into China via offshore structures in tax havens like the Cayman Islands. Much came from global institutional investors who tasked alternative investment managers with allocating a percentage of their portfolios to high-yield opportunity funds, emerging markets and real estate.

Everyone wanted a piece of the “China Dream,” but in recent months they have woken up to deteriorating economic conditions. Institutional investors are forcing redemptions of their investments from high-yield, high-risk markets.

Jack Rodman, Senior Advisor to King & Wood\‘s International Debt/Restructuring Practice

Summarized from Mr. Rodman’s article for China Economic Review, May 2009.


Continue Reading The Best of a Bad Deal

By Liu Yanling, Partner and head of King & Wood’s Bankruptcy, Restructuring & Insolvency Practice

Stellar Megaunion Corporation (“SMC”) was in serious debt, as it could barely repay its liabilities. New World China Land (“NWCL”), which was seeking an opportunity to go public, proposed to acquire SMC as a shell company which has no assets, but is publicly listed. To achieve this goal, NWCL conducted several rounds of negotiations with SMC’s creditors to settle SMC’s debts and clear the roadblocks for the acquisition. However, the parties were unable to make much progress in the negotiations due to the large number of SMC’s creditors involved. As SMC needed to solve its debt crisis as soon as possible and its negotiations with NWCL were deadlocked, the company decided to reorganize to completely release itself from the heavy debt burdens in a short period time.
Continue Reading Debt Restructuring — Second Life for a Distressed Company