Asia: Insolvency/Bankruptcy/Re-Structuring

Trust structures can protect assets held for others, but they do not shield a bankrupt person's own entitlements, trustee indemnity rights, or transfers made to defeat creditors. The deed, financial records and transaction history determine whether trust property remains outside the bankruptcy estate or becomes available to creditors through beneficial interests, indemnity claims, or voidable transaction recovery.

Understanding the critical distinction between insolvency and liquidation is essential for company directors facing financial distress. While insolvency describes a company's inability to pay debts when due, liquidation represents just one of several formal processes available, and exploring alternatives early may preserve more options for restructuring or turnaround.

The Australian National Audit Office's recent review of the ATO's management of small business collectable debt reveals significant findings that will reshape how tax authorities approach debt recovery. With small business debt reaching $35.9 billion and the ATO accepting all eight recommendations for reform, advisers and business owners face a new landscape of firmer collection activity and heightened accountability. Understanding these changes and their implications for unpaid tax liabilities, director pe

Understanding the critical distinction between insolvency and liquidation is essential for company directors facing financial distress. While insolvency describes a company's inability to pay debts when due, liquidation represents just one of several formal processes available, and exploring alternatives early may preserve more options for restructuring or turnaround.

Small business restructuring under Part 5.3B of the Corporations Act 2001 offers eligible insolvent companies with liabilities under $1 million a streamlined path to propose creditor compromises...

The Cayman Islands Court continues to refine the boundaries between Restructuring Officer appointments and light-touch Joint Provisional Liquidations, with recent decisions clarifying when each regime is appropriate for distressed companies. As cross-border recognition concerns and governance complexities shape these choices, practitioners must navigate an evolving landscape where the right restructuring tool depends on management capability, creditor engagement, and the need for investigative powers.