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What is the difference between a liquidator, an official receiver and an administrator? I’m aware the liquidator basically kills the company and an administrator tries to rescues it but what is the role of the official receiver?
The Official Receiver is a public office. There is an Official Receiver in many towns and cities throughout England and one of their roles is to act as the liquidator of companies where neither the members nor the creditors wish to appoint someone else appropriately qualified
The Official Receiver in addition is appointed as the Provisional Liquidator by the Court where the Court places a company into compulsory liquidation. The OR will take the reins of liquidator and convene a meeting of creditors inviting them either to accept the OR as the company liquidator or, alternatively, to nominate their own choice to fill that position
OK?
Oh okay, so for a voluntary liquidation it’s a insolvency practitioner and for a compulsory liquidation its an official receiver or do official receivers also handle creditors voluntary liquidation that is if they’re nominated by the members and approved by the creditors?
I can think of no reason why the Official Receiver couldn’t be asked to carry out a voluntary liquidation – that is, I don’t believe that that is an impossibility
But in a practical sense it’s more likely that the major liabilities (typically the banks) will have their own ‘pet’ liquidator and will persuade other creditors to accept the bank’s nominee
OK?
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