Cap. 6:07
INSOLVENCY
No. 7/2018
(3) A creditor may not vote(a)
in respect of any claim which was ceded to him or her after commencement
of the proceedings for the liquidation of the debtor's estate, or after the
giving of notice of the intention to pass a liquidation resolution in terms
of section 9; or
(b)
on the question as to whether steps should be taken to contest his or her
claim or preference.
(4) Voting by creditors takes place according to the value of claims except
where this Act provides that voting must take place according to number of creditors
and the value of their claims.
(5) In the case of voting according to number, the number of votes brought out
in favour of a resolution and those brought out against the resolution are determined
without taking into account the value represented by the votes.
(6) In the case of voting according to value, the aggregate value of votes brought
out in favour of a resolution and the aggregate value of votes brought out against the
resolution are determined without taking into account the number of votes for or against
the resolution.
(7) A secured creditor is entitled to\ ote on the full value of his or her claim in
respect of any matter affecting his or her security or on the election of a liquidator.
(8) A secured creditor may vote only if he or she had placed a monetary value
on his or her security when proving his or her claim, or the liquidator has obtained a
valuation of the security, or the security has been realised.
(9) If a secured creditor's security has been realised, the creditor may vote on
the amount by which his or her claim exceeds the proceeds of the realisation of the
security.
( 10) If the security has not been realised, the secured creditor may \ ote on the
amount by which his or her claim exceeds(a)
the value placed by him or her on the security; or
(b)
the valuation of the security obtained by the liquidator;
whichever is the greater.
(11) A creditor may vote personally or through an agent appointed thereto by
him or her by power of attorney.
(12) No person may vote as an agent of a creditor, unless he or she submits
proof of his or her mandate.
(13) Every resolution taken at a meeting of creditors and the result of the
voting on any matter must be recorded in the minutes of the meeting and in so far as
a resolution contains a directive to a liquidator, it is binding upon the liquidator.
(14) Any directive of creditors that infringes the rights of any creditor may
be set aside by the Court on application by the creditor, or by the liquidator with the
consent of the Master, within 90 days or such further period as the Court may allow
for good cause shmvn.
( 15) No resolution of creditors that a specific attorney, auctioneer or any other
person be employed in connection with the administration of an insolvent estate is
binding upon the liquidator, but creditors may by resolution recommend the employment
of any such person and if the liquidator docs not accept the recommendation the Master's
decision in respect of such employment is final.
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