Personal Insolvency Act 2012

179.

Circumstances in which application may be made to High Court for immediate suspension of authorisation, etc.

179.— (1) Without prejudice to subsection (4), where the Insolvency Service considers that the immediate suspension of an authorisation to carry on practice as a personal insolvency practitioner (whether or not the personal insolvency practitioner concerned is the subject of a complaint) is necessary to protect debtors and creditors who are or may become parties to Debt Settlement Arrangements or Personal Insolvency Arrangements, until steps or further steps are taken under this Part, the Insolvency Service may, on notice to the personal insolvency practitioner, make an application in a summary manner to the High Court for an order to suspend the personal insolvency practitioner’s authorisation to carry on practice as a personal insolvency practitioner.

(2) The High Court may determine an application under subsection (1) by—

( a) making any order that it considers appropriate, including an order suspending the authorisation of the personal insolvency practitioner the subject of the application for such period, or until the occurrence of such event, as is specified in the order, and

( b) giving to the Insolvency Service any other direction that the court considers appropriate.

(3) The Insolvency Service shall, on complying with a direction of the High Court under subsection (2)(b), give notice in writing to the personal insolvency practitioner concerned of the Insolvency Service’s compliance with the direction.

(4)( a) Where the Insolvency Service considers that the immediate suspension of an authorisation to carry on practice as a personal insolvency practitioner (and whether or not the personal insolvency practitioner concerned is the subject of a complaint) is necessary because of the immediate risk of financial harm to debtors and creditors who are or may become parties to Debt Settlement Arrangements or Personal Insolvency Arrangements, the Insolvency Service may make an application in a summary manner ex parte to the High Court for an interim order to suspend the authorisation.

( b) The application for such an order shall be grounded on an affidavit sworn on behalf of the Insolvency Service.

(5)( a) The High Court may make an interim order to suspend an authorisation to carry on practice as a personal insolvency practitioner on an application under subsection (4) where, having regard to the circumstances of the case, the Court considers it necessary to do so for the protection of debtors and creditors who are or may become parties to Debt Settlement Arrangements or Personal Insolvency Arrangements.

( b) If an interim order is made, a copy of the order and the affidavit referred to in subsection (4)(b) shall be served on the personal insolvency practitioner as soon as is practicable.

( c) The interim order shall have effect for a period, not exceeding 14 days, to be specified in the order, and shall cease to have effect on the determination by the High Court of an application under subsection (1) for an order to suspend the authorisation to carry on practice as a personal insolvency practitioner.

(6) An application under subsection (4) shall be heard otherwise than in public unless the High Court considers it appropriate to hear the application in public.