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“Gagging orders”: an office holder’s secret weapon

Published on 13 March 2017

Practitioners are fully aware of the extensive powers available under ss 235 and 236 of the Insolvency Act 1986 (IA 1986) allowing administrators and liquidators as office holders (OHs) to require individuals and organisations to disgorge information.

In their usual form court orders under these sections can require, respectively, directors and other parties to answer very searching questions and produce documents relevant to the business and affairs of the insolvent company beyond anything a party to litigation would be required to disclose.