Companies (Management by Administrator) Rules, 1993
The Companies (Management by Administrator) Rules, 1993 were made by Corporate Law Authority in exercise of the powers conferred by subsection (12 of section 295) read with section 506 of the Companies Ordinance, 1984 (XLVII of 1984) and the Finance Division Notification No. S.R.O 698(1)/86 dated the 2nd July, 1986.
These rules are made by the corporate law authority by exercising powers under the Companies Ordinance 1984. An administrator shall be appointed to manage the affairs of the company. All other words, terms and expressions used, but not defined in these rules, shall have the meaning as assigned to them in the ordinance. Under the rules all creditors may be joined in one representation or the representation may be made by one or more creditors whose debt or aggregate debt is not less than sixty per cent (30%) of the paid-up capital of the company. When a representation has been duly made by an application, notice shall be issued to the company and all others concerned to appear, and show cause why the application should not be accepted. The representation shall mention those particulars as are described in the annexure to the rules. An administrator shall be appointed by the Securities and Exchange Commission of Pakistan on application of the creditor(s) under sub-section (6) of section 295 of the Companies Ordinance to manage the affairs of the company. When the purpose of the appointment of an administrator has been fulfilled he shall h andover the management & affairs of the company to the directors of the company.
