In the Matter of Global Fidelity Bank, Ltd - Reasons

In an insolvency situation where one major creditor has raised an objection to the proposed joint official liquidators on the ground of a perceived lack of independence, said to arise out of a prior relationship with the insolvent company, the court should take account of the views and wishes of the creditor, giving them significant weight where appropriate, and adopt a 3-stage approach namely (1) identify the relationship;(2) determine whether it is capable of impairing the appearance of independence and if so (3) whether it is sufficiently material to the liquidation in question that a fair-minded and informed stakeholder would reasonably object to the appointment of the nominated practitioners in question. Insolvency; Banking; Professional Ethics; Civil Procedure