Other than through the normal course of correspondence or
recovery activity, ICHU and local Revenue offices will not normally
be aware of the appointment of a receiver under a fixed charge
Under a fixed charge the receiver has a responsibility to the debenture holder only and usually becomes receiver or manager of a property charged. The appointment is under the Law of Property Act 1925 or the terms of the fixed charge and a receiver’s powers are restricted to dealing with the property and any income arising from it if appointed under the provisions of the Law of Property Act 1925 or the terms of the debenture if appointed under the terms of that document.
If the receiver is appointed under the provisions of the Law of Property Act 1925, the receiver is known as an LPA Receiver. It is more common for receivers to be appointed under the terms of the debenture.
A fixed charge receiver is not responsible for payment of company debts or assuming the duties of an administrative receiver; the company remains liable for payment. Unless a company is being wound up (when a claim is lodged in the liquidation) the Revenue should recover debts from the company in the normal way.
The receiver must submit accounts to the Registrar of Companies within one month after the end of the first twelve months of their receivership and every subsequent six months.