Róisín Shortall (Dublin North West, Social Democrats)
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193. To ask the Minister for Justice and Equality if her Department has considered legislating to provide for greater regulation of receivers and receiverships; and if she will make a statement on the matter. [1594/17]

Frances Fitzgerald (Dublin Mid West, Fine Gael)
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The position is that the Companies Act 2014, which falls primarily within the area of responsibility of the Minister and Department for Jobs, Enterprise and Innovation and which entered into force on 1 June 2015, has updated and codified company law in this jurisdiction. This Act continues to provide a range of possible remedies for debenture holders and lending institutions in the event of a borrower encountering financial difficulties. These include the appointment of a receiver, an examinership process, and liquidation in those cases in which the company is beyond rescue. The Act includes detailed provisions which regulate the appointment and the powers of receivers, examiners and liquidators respectively. However, while the 2014 Act contains provisions specifying qualifications in the case of examiners and liquidators, it does not specify any such standards for the appointment of a receiver.

As regards further regulation in relation to receivers, I am advised that the Company Law Review Group is the statutory body which advises the Minister for Jobs, Enterprise and Innovation on the review and development of company law in this jurisdiction. It would be a matter for the Group to consider whether further amendment of company law in relation to receivers would be desirable or necessary.

The position regarding the appointment of a receiver is that such an appointment may be made under company law or land and conveyancing law (the Land and Conveyancing Law Reform Act 2009 in the case of mortgages created after 1 December 2009, and the Conveyancing Act 1881 for mortgages created prior to that date). Depending on the circumstances of the case, courts may also, on application from a secured creditor, exercise their discretionary powers to appoint a receiver. Apart from these sources, the instrument creating a charge or mortgage may also contain contractual terms in relation to appointment of a receiver and provide for additional powers which such a receiver may exercise on his or her appointment.