Commonwealth Consolidated Regulations Commonwealth Consolidated Regulations(1) This section is made for the purposes of paragraphs 75 - 40(5)(a) and (b) of the Insolvency Practice Schedule (Bankruptcy).
(2) A proposal put to the creditors of a regulated debtor by giving notice under section 75 - 40 of the Insolvency Practice Schedule (Bankruptcy) is taken to have been passed as a resolution at a meeting of creditors if:
(a) a majority of the creditors whose replies to the notice are received by the trustee within the time specified in the notice (the responding creditors ) vote Yes; and
(b) a majority in value of the responding creditors vote Yes; and
(c) not more than 25% in value of the responding creditors notify the trustee within the time specified in the notice that they object to the proposal being resolved without a meeting of creditors.
(3) The time specified for the purposes of paragraphs (2)(a) and (c) must be at least 15 business days after the day the notice is given.
(4) For the purposes of subsection (2), a creditor is not to be counted as a responding creditor unless:
(a) the creditor has submitted particulars of his or her debt or claim to the trustee on or before the day the creditor replies to the notice; and
(b) the trustee has admitted the proof of debt or claim, including the amount, for the purposes of voting.
(4A) For the purposes of paragraphs (2)(b) and (c), the value of a responding creditor who:
(a) is a related entity of the regulated debtor; and
(b) has been assigned a debt;
is to be worked out by taking the value of the assigned debt to be equal to the value of the consideration that the creditor gave for the assignment of the debt.
(5) If subsection (2) does not apply, the proposal is not taken to have been passed as a resolution.
(6) The trustee must make a written record of the outcome of the proposal in the books required to be kept under section 70 - 10 of the Insolvency Practice Schedule (Bankruptcy).