Outline the legal rules that govern the appointment of an Administrative Receiver a holder of a floating charge.

i) Under Section 35 (1) of the Companies Act, where a receiver or manager of the whole or substantially the whole of the property of the company is appointed on behalf of the holders of any debentures of the company secured a floating charge, then subject to the provisions of this section and of section 352.

The receiver shall forthwith send notice to the company of his appointment; and

There shall, within fourteen days after receipt of the notice, or such longer period as may be allowed the court or the receiver, be made out and submitted to the receiver in accordance with section 352 a statement in the prescribed form as to the affairs of the company; and

The receiver shall within two months after receipt of the said statement send

To the registrar and to the court, a copy of the statement and of any comments he sees fit to make thereon and in the case of the registrar also a summary of the statement and of his comments (if any) thereon; and
 To the company, a copy of any such comments as aforesaid or, if he does not see fit to make any comment, a notice to that effect; and

To any trustees for the debenture holders on whose behalf he was appointed and, so far as he is aware of their addresses, to all such debenture holders, a copy of the said summary.

ii) Under Section 351 (2) of the Companies Act, the receiver shall within two months, or such longer period as the court may allow after the expiration of the period of twelve months from the date of his appointment and of every subsequent period of twelve months, and within two months or such longer period as the court may allow after he ceases to act as receiver or manager of the property of the company, send to the registrar, to any trustees for the debenture holders of the company on whose behalf he was appointed, to the company and (so far as he is aware of their addresses) to all such debenture holders an abstract in the prescribed form showing his receipts and payments during that period of twelve months or, where he ceases to acts as aforesaid, during the period from the end of the period to which the last preceding abstract related up to the date of his so ceasing, and the aggregate amounts of his receipts and of his payments during all preceding periods since his appointment.

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