Corporate insolvencies on the rise
Official figures released by ASIC reveal that corporate insolvencies have risen 4.4% in the 2010-11 financial year to date.
ASIC’s Senior Executive Leader of the Insolvency Practitioners team, Adrian Brown, said that despite a decrease in external administration appointments in May compared to the same time last year, the latest figures show the number of court liquidations and director initiated creditors voluntary liquidations have risen.
‘Statistics collated by ASIC up to and including May 2011, show court liquidations in Australia rose 8.6% and director initiated creditors voluntary liquidations rose 7.6%.
Western Australia is also seeing its fair share of corporate insolvencies, despite suggestions that it’s in the fast lane of a two speed economy,’ Mr Brown said.
‘Interestingly, receivership and voluntary administration appointments, Australia-wide, have fallen,’ Mr Brown added.
ASIC publishes monthly insolvency statistics detailing the number and type of corporate insolvency appointments. External administrators, (liquidators, receivers and managers and voluntary administrators) are obliged by law to advise ASIC of their appointments.
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