(2 ) In fixing the remuneration of a judicial manager, the Master shall take into account the manner in which
the provisional judicial manager or the final judicial manager has performed his functions and any recommend ation by the members or creditors of the company relating to such remuneration.
(3 ) Section 192 of the Insolvency Act [Chapter 6:04 ] shall apply, mutatis mutandis , with regard to any fixing
of remuneration by the Master under this section.
309 Pre-judicial management creditors may consent to preference
(1 ) The creditors of a company whose claims arose before the granting of a provisional judicial management
order in respect of the company may, at a meeting convened by the provisional judicial manager or final judicial
manager for the purpose of this subsection or by the Master in terms of subparagraph (ii) of paragraph (b) of
subsection (1) of section three hundred and two, resolve that all liabilities incurred or to be incurred by the provisional judicial manager or final judicial manager in the conduct of the company’s business shall be paid in preference to all other liabilities not already discharged, exclusive of the costs of the judicial management, and
thereupon all claims based upon such first-mentioned liabilities shall have preference in the order in which they
were incurred over all unsecured claims against the company except claims arising out of the costs of the judicial
management.
(2 ) If a judicial management order is superseded by a winding-up order—
(a ) the preference conferred in terms of subsection (1) shall remain in force except in so far as claims
arising out of costs of the winding up are concerned; and
(b ) all claims based on such liabilities incurred by the final judicial manager shall be taken to have been
proved, and section two hundred and twenty shall not apply in respect thereof.
(3 ) A meeting convened by a provisional judicial manager or a final judicial manager in terms of subsection
(1) shall be convened by him by written notice sent by registered post at least ten days before the date of the
meeting, as specified in the notice, to every creditor of the company whose name and address is known to him,
and also by notice in a newspaper circulating in the area where the company’s main place of business is situated.
(4 ) The provisional judicial manager or the final judicial manager, as the case may be, shall preside over a
meeting referred to in subsection (3 ), and the laws relating to insolvency shall apply, mutatis mutandis, in respect
of the conduct of any such meeting, the right to vote thereat, the manner of voting and the calculation of the value
of the votes, as if the meeting were a meeting of creditors in an insolvent estate:
Provided that, for the purposes of voting at any such meeting convened by a provisional judicial manager, the
claims of creditors shall be determined to the satisfaction of the provisional judicial manager.
310 Voidable and undue preferences in judicial management
(1 ) Every disposition of its property which, if made by an individual, could for any reason be set aside in the
event of his insolvency may, if made by a company unable to pay its debts, be set aside by the court at the suit of
the final judicial manager in the event of the company being placed under judicial management, and the law
relating to insolvency shall apply, mutatis mutandis, in respect of any such disposition.
(2 ) For the purposes of this section, the event which shall be deemed to correspond with a sequestration order
in the case of an insolvent shall be the filing with the court of the application in pursuance of which a final judicial
management order is granted.
311 Period of judicial management excluded in determining preference under mortgage bond
The time during which any company, which is a debtor under a mortgage bond, is subject to a judicial management order, shall be excluded from the calculation of any period for the purpose of determining whether the
mortgage confers any preference in terms of subsection (3) of section 111 of the Insolvency Act [Chapter 6:04] as
applied to the winding up of companies by this Act.
312 Position of auditor during judicial management
Notwithstanding the granting of a judicial management order in respect of any company and for so long as the
order is in force, the provisions of this Act relating to the appointment and reappointment of an auditor and the
rights and duties of an auditor shall continue to apply as if any reference in those provisions to the directors of the
company were a reference to the judicial manager.
313 Application of certain provisions of winding up to judicial management
In every case in which a company is placed under judicial management, sections two hundred and sixteen,
two hundred and thirty-five, two hundred and thirty-seven, two hundred and thirty-eight, two hundred and seventy-two , two hundred and seventy-three, two hundred and seventy-four, two hundred and seventy-five , two
hundred and eighty-nine, two hundred and ninety and two hundred and ninety-eight and, where the court so
orders, sections two hundred and sixty-seven, two hundred and sixty-eight, two hundred and seventy, two hundred
and eighty-six and two hundred and ninety-seven shall apply in a judicial management as they apply in a winding
up of a company which is unable to pay its debts, any reference to —
(a ) the liquidator being taken as a reference to the judicial manager; and
(b ) a winding-up order being taken as a reference to a judicial management order; and
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