Warning Letter - Mark Ian Sorby Chapman (Insolvency Practitioner) (2013-11-27)

Summary

This is a warning letter published by the BVI Financial Services Commission as an enforcement action against Mark Ian Sorby Chapman, a licensed insolvency practitioner, for multiple contraventions of insolvency legislation committed in the course of acting as a liquidator. It is a notice of past enforcement action rather than a document creating new ongoing regulatory requirements for the industry.

• Notice of appointment: Failing to file a copy of the notice of appointment with the Registrar and to serve notice of appointment on a company within 14 days, contrary to section 178(1)(b) of the Insolvency Act, 2003.
• Statement of affairs: Failing to file a verified statement of affairs with the Registrar and the Court, contrary to Rule 204 of the Insolvency Rules, 2005.
• Record keeping: Failing to maintain consolidated minutes on key decisions made in the execution of his duties as liquidator, contrary to Regulation 6(1)(b) of the Insolvency Practitioners Regulation, 2004.

The Commission's matter reference for this action is BF101113/182. The letter itself does not impose new prospective obligations on other practitioners, but illustrates the Commission's expectations under the cited insolvency provisions regarding timely notice filing, statements of affairs, and record keeping by liquidators.

Key obligations

• Insolvency practitioners appointed as liquidators must file a copy of the notice of appointment with the Registrar and serve notice of appointment on the company within 14 days of appointment, per section 178(1)(b) of the Insolvency Act, 2003.
• Insolvency practitioners must file a verified statement of affairs with the Registrar and the Court, per Rule 204 of the Insolvency Rules, 2005.
• Insolvency practitioners acting as liquidators must maintain consolidated minutes of key decisions made in the execution of their duties, per Regulation 6(1)(b) of the Insolvency Practitioners Regulation, 2004.

Applies to

Insolvency Practitioners

Deadlines

• 14 days of his appointment: Deadline (per section 178(1)(b) of the Insolvency Act, 2003) for a liquidator to file the notice of appointment with the Registrar and serve it on the company.