Companies Act 2014 section 538

Appointment of creditors' committee

Section 538 deals with the appointment, composition and role of a creditors' committee to assist an examiner during the examinership process.

• An examiner may voluntarily appoint a creditors' committee, or the court may direct the examiner to do so
• The committee must have no more than 5 members and must include the holders of the 3 largest unsecured claims who are willing to serve
• The examiner must provide the committee with any proposals for a compromise or scheme of arrangement, and the committee may express opinions on those proposals
• The examiner must meet with the committee as soon as practicable after it has been appointed to deal with any necessary business