Carey Olsen's dispute resolution team, instructed by the UK official receiver, has appeared in the Royal Court of Jersey to apply for the appointment of liquidators over Carillion entities incorporated in Jersey.
UK-domiciled construction and facilities management company Carillion went into liquidation on 15 January. Jersey-registered Carillion Finance (Jersey) was a wholly owned subsidiary of the PLC and a bond issuer in its own right, but it was also a co-obligor with the PLC of the group's debts.
The Jersey subsidiary had close to £200 million of its own debt and had obligations shared with its affiliates of a further £2.6bn.
The application was made under the Royal Court's 'just and equitable' jurisdiction. In acceeding to the application and appointing insolvency practitioners from PwC as Jersey joint liquidators, the Royal Court agreed that a just and equitable winding up order was to be preferred over other routes for liquidating the company.
The Court indicated that in an urgent case such as this, the speed of the just and equitable process meant it should be preferred if it could avoid the potential for parallel cross-border processes that might disrupt the main centre proceedings.
Jeremy Garrood, Partner in Carey Olsen's Dispute resolution team, appeared in the Royal Court.