Ms Helen Curley:

There are, as I mentioned, disqualification provisions in the Act. There are no positive qualifications. Obviously, receivers are subject to a range of civil and criminal sanctions and they may be disqualified for misconduct.

As I have said, receivership results from a private contractual relationship between a lender and a borrower. On the other hand, examinership and liquidations affect all creditors and members as they concern the whole of the business. Receivership is a private matter. The receiver is appointed to realise an asset belonging to the debtor over which the secured creditor has a mortgage or charge. The responsibility for appointing a competent receiver is obviously on the part of the creditor initiating the receivership. Creditors are expected to choose competent receivers because it is in their interests to do so. We understand that most receivers are in fact accountants but I have no statistics on that. That is my understanding.