SIP 16 - consultation
Date published:
In June 2014, Teresa Graham presented the report detailing the findings of her review of pre-packaged administrations to government. The report included a re-draft of statement of insolvency practice 16 and a recommendation that the Joint Insolvency Committee (JIC) consider the redraft of the SIP. Government accepted all the recommendations in the report.
The JIC has reviewed the draft contained in Teresa Graham’s report and has produced a revised version of SIP 16 which is now being issued for consultation.
The JIC’s consultation draft is broadly similar Ms Graham’s and retains the emphasis on a comply or explain methodology with particular emphasis on the role of marketing and the use of appropriately qualified valuers. The draft also acknowledges the existence of the pre pack pool and preparation of a viability statement by a connected party purchaser.
The JIC is now seeking views on the revised SIP. As the draft contained in Teresa Graham’s report has been in the public domain for more than 6 months and formed part of the recommendations accepted by Government, the JIC is consulting for a 4 week period and is solely seeking views on whether it will be practical for an insolvency practitioner to comply with the requirements contained in the revised version of the SIP.
Please let us know your views. If you don’t think it will be feasible for an insolvency practitioner to comply with the SIP, please explain why that is the case.
Please send your responses to jic_sip_consultation@icaew.com by 2nd February 2015.