ACCA · Question 58 · Syllabus G: Insolvency law
Scenario: Global Logistics Ltd is facing financial difficulties. It has a fixed charge over its warehouse in favour of Alpha Bank, and a floating charge over its fleet of trucks in favour of Beta Bank. The company owes £50,000 to its employees for unpaid wages. The directors are considering putting the company into administration to rescue it as a going concern.
Who has the power to appoint an administrator out of court?
Answer options:
Only the company or its directors.
Only a qualifying floating charge holder (e.g., Beta Bank).
The company, its directors, or a qualifying floating charge holder.
Unsecured creditors owed more than £750.
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