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The Water and Sewerage Services (Northern Ireland) Order 2006

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This is the original version (as it was originally made).

Making and effect of scheme

2.—(1) The existing appointee, acting with the consent of the new appointee and, in relation to the matters affecting them, of any other appointees, may make a scheme under this Schedule for the transfer of assets and liabilities from the existing appointee to the new appointee.

(2) A scheme under this Schedule shall not take effect unless it is approved by the Department or the Authority.

(3) Where a scheme under this Schedule is submitted to the Department or the Authority for its approval, the Department or the Authority may, with the consent of the new appointee, of the existing appointee and, in relation to the matters affecting them, of any other appointees, modify the scheme before approving it.

(4) A scheme under this Schedule for the transfer of the existing appointee’s assets and liabilities shall come into force on the relevant date and, on coming into force, shall, by virtue of this paragraph have effect, in accordance with its provisions and without further assurance, so as to transfer to the new appointee the assets and liabilities specified for transfer to it.

(5) If at any time after a scheme under this Schedule has come into force in relation to the assets and liabilities of any existing appointee the Department considers it appropriate to do so and the existing appointee, the new appointee and, in relation to the provisions of the order which affect them, any other appointees consent to the making of the order, the Department may by order provide that that scheme shall for all purposes be deemed to have come into force with such modifications as may be provided for in the order.

(6) The power under sub-paragraph (5) to provide for the modification of the transfer scheme shall be exercisable for the purpose only of making provision that could originally have been made by the scheme; and an order under that sub-paragraph —

(a)may make, with effect from the coming into force of the scheme to which it relates, any such provision as could have been made by the scheme; and

(b)may, in connection with giving effect to that provision from that time, contain such supplemental, consequential and transitional provision as the Department considers appropriate.

(7) In determining, in accordance with its duties under Part II of this Order, whether and in what manner to exercise any power conferred on it by this paragraph the Department or the Authority shall have regard to the need to ensure that any provision for the transfer of assets and liabilities in accordance with a scheme under this Schedule allocates assets and liabilities to the different companies affected by the scheme in such proportions as appear to it to be appropriate in the context of the different functions which will, by virtue of this Order, be carried out at different times on and after the relevant date by the new appointee, by the existing appointee and by any other appointees.

(8) It shall be the duty of the new appointee, of the existing appointee and of any other appointees to provide the Department or the Authority with all such information and other assistance as it may reasonably require for the purposes of, or in connection with, the exercise of any power conferred on it by this paragraph.

(9) A company which without reasonable excuse fails to do anything required of it by virtue of sub-paragraph (8) shall be guilty of an offence and liable, on summary conviction, to a fine not exceeding level 5 on the standard scale.

(10) Without prejudice to the other provisions of this Order relating to the special administrator of a company, anything which is required by this paragraph to be done by a company shall, where that company is a company in relation to which a special administration order is in force, be effective only if it is done on the company’s behalf by its special administrator.

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