Commentary on Sections Summary Status of scheme Section 122: Insolvency practitioner’s duty to issue notices confirming status of scheme
388.This section makes provision for an insolvency practitioner to confirm the status of an occupational pension scheme after the occurrence of an insolvency event in relation to the employer.
389.Subsection (1) provides that the section applies where an insolvency event has occurred in relation to the employer in relation to an occupational pension scheme. Subsection (2) states that, if an insolvency practitioner is able to confirm that a scheme rescue is not possible, he must issue a “scheme failure notice”. If he can confirm that a scheme rescue has occurred, he must issue a “withdrawal notice”.
390.Subsections (3) and (4) provide that the insolvency practitioner must issue a notice where he has not been able to confirm that a scheme rescue has occurred or is not possible. This applies in prescribed circumstances where insolvency proceedings are stayed or come to an end, or where a prescribed event occurs. Subsection (5) provides that a person is able to confirm that a scheme rescue has occurred or is not possible only if he is able to confirm such matters as are prescribed in regulations.