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Your cookie settings. We use cookies to improve your experience on our website. By browsing this website, you agree to our use of cookies. Additionally, creditors must approve of the restructuring agreement. Under official liquidation, creditors may nominate and appoint a liquidator section 95 1 and must be consulted on matters that substantially affect their interests during the liquidation process.
The Act has provisions in sections — and a schedule that specifically regulates cross-border insolvency proceedings. The main aim is to promote cooperation between courts and competent authorities in Ghana and foreign countries, thereby enabling effective cross-border insolvency proceedings of companies that have assets and creditors in and outside Ghana. It allows for the recognition of foreign insolvency proceedings and reliefs. The Act permits a foreign representative to apply for the commencement of an insolvency proceeding in Ghana and participate in proceedings regarding a debtor or creditor.
A Ghanaian insolvency practitioner is also authorized to act in a foreign state on behalf of a Ghana insolvency proceeding, as permitted by the applicable foreign law. The ISD shall review the law and practice that relates to insolvency in Ghana, supervise insolvency practitioners, oversee administration of companies and other body corporates in Ghana and shall liaise with international agencies in the areas of international insolvency as may be necessary.
The country currently occupies the th position out of the economies compared. In conclusion, the Corporate Insolvency and Restructuring Act provides a balance between the rights of creditors to enforce their security and the public interest in ensuring the survival of viable businesses, creditors, and the growth of the economy as a whole.
Thus, the passage of Act is good news. Connect with us. Share Tweet. In this trying moment, as we are all indoor to protect ourselves from contracting the deadly Coronavirus, sharing is of great essence now. Communication is the hotcake now, we are talking on phone to keep in touch with everybody be it family members, friends, or co-workers.
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