Citation and commencement

1.  These Rules may be cited as the Insolvent Companies (Disqualification of Unfit Directors) Proceedings (Amendment) Rules (Northern Ireland) 2005 and shall come into operation on 19th December 2005.

Interpretation

2.  In these Rules, references to the “principal Rules” are to the Insolvent Companies (Disqualification of Unfit Directors) Proceedings Rules (Northern Ireland) 2003(4).

Amendment of the principal Rules

3.  The principal Rules shall be amended as set out in the Schedule to these Rules.

Rule 3

SCHEDULE

1.  Amendment of Rule 1 (citation, commencement and interpretation)

(1) Rule 1 of the principal Rules shall be amended as follows.

(2) At the end of paragraph 3(b) insert —

“or

(c)by the Office of Fair Trading or (as the case may be) a specified regulator under Article 13A of that Order (breach of competition law by undertaking and unfitness to be concerned in the management of a company),”

2.  Amendment of Rule 4 (endorsement on summons)

(1) Rule 4 of the principal Rules shall be amended as follows.

(2) In sub-paragraph (b)(ii) for the words “under Article 11 of that Order” there is substituted “under Article 11 or 13A of that Order”.

Explanatory Note

(This note is not part of the Order)

These Rules amend the Insolvent Companies (Disqualification of Unfit Directors) Proceedings Rules (Northern Ireland) 2003 (“the principal Rules”) which provide procedures for applications by the Department of Enterprise, Trade and Investment or the official receiver for the disqualification of directors by the High Court in Northern Ireland under Articles 10 and 11 of the Company Directors (Disqualification) (Northern Ireland) Order 2002 (“the 2002 Order”).

The 2002 Order, as amended by the Company Directors Disqualification (Amendment) (Northern Ireland) Order 2005 enables the Office of Fair Trading and certain specified regulators (listed in Article 13E(2) of the 2002 Order) to make an application to the High Court for a competition disqualification order. The court will be under an obligation to make a competition disqualification order where it is satisfied that the company has committed a breach of competition law, as defined in the 2002 Order, and where it considers that the conduct of the director in relation to that competition breach makes him unfit to be concerned in the management of a company.

The amendments to the principal Rules provide for the procedures as set out in those Rules to apply to applications in Northern Ireland made by the Office of Fair Trading or a specified regulator under Article 13A of the 2002 Order.