Cap. 383 чл. 5Procedure to be adopted. Cap. 371. Cap. 13.

(1) The Controller shall proceed to determine any claims and objections made, to wind up and liquidate any controlled asset, to appoint an independent auditor to audit his accounts, and to draw up a scheme of distribution and make a report thereof to the Minister.

(2) An extract of the report by the Controller showing the creditors recognised by him as having a valid claim against the controlled asset, the amount due on such claim, and any right of preference attaching to such claims, shall be published by the Controller in the Gazette.

(3) In making the report and drawing up the scheme of distribution, the Controller shall determine the date as from which the controlled asset was insolvent.

(4) Notwithstanding the provisions of article 29(3)(d) of the Banking Act, the provisions of article 485 of the Commercial Code shall apply to a controlled asset: mutatis mutandis Provided that the provisions of the said article shall not apply to any act done by the Controller or under his authority.

(5) Where any act has been made or omitted to be made by a controlled asset, or by the owner, director or manager of such asset, which results in the fraudulent deprivation of the rights of the creditors of such a controlled asset, the Controller shall be entitled, as the case may be, to ignore the act so made or to deem the act as having been made despite the omission to make such act.

(6) The Controller shall in drawing up the scheme of distribution, proceed to rank creditors having pledges, privileges or hypotecs in accordance with the law for the time being in force at the time of distribution:

Provided that any pledge or privilege, arising, created or registered after the date established by the Controller in terms of subarticle (3), shall be ineffectual unless such pledge or privilege was created by the Controller: Provided further that the fees and expenses incurred by the Controller in the administration, control and liquidation of any controlled asset shall be ranked prior to any other claim whatsoever.