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Appointment of directors

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › Appointment of directors

  • This topic has 2 replies, 2 voices, and was last updated 7 years ago by MikeLittle.
Viewing 3 posts - 1 through 3 (of 3 total)
  • Author
    Posts
  • June 30, 2018 at 8:33 am #460575
    alikhakar
    Participant
    • Topics: 187
    • Replies: 79
    • ☆☆☆

    Hello tutor
    I could not understand the concept of – Administrator appointed as a director – under an administration order. W

    June 30, 2018 at 8:33 am #460576
    alikhakar
    Participant
    • Topics: 187
    • Replies: 79
    • ☆☆☆

    Why and when does this happens ..and what is the procedure ?

    June 30, 2018 at 10:02 am #460583
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23323
    • ☆☆☆☆☆

    Upon the appointment of an administrator, the powers of the original directors is suspended and the administrator takes over the reins of running the company

    I believe that you have misquoted this line in your post “Administrator appointed as a director”

    Administrators are appointed, primarily, to try to rescue a company that is facing severe problems to cary on as a going concern. The administrator is therefore in the role of a doctor (and sometimes even as a surgeon!)

    That’s the “why” and the “when” leading to the appointment of an administrator

    The procedure is set out clearly in a study text … whether it be BPP, Kaplan or Becker

    OK?

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    Posts
Viewing 3 posts - 1 through 3 (of 3 total)
  • The topic ‘Appointment of directors’ is closed to new replies.

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