Whither the Schemes of Arrangement in Malaysia with the arrival of the corporate rescue mechanisms?. Issue 3 (2nd July 2020)

• Record Type: Journal Article
• Authors: Chen, Thim Wai; Azmi, Ruzita; Abdul-Rahman, Rohana
• Is Part Of: Commonwealth law bulletin. Volume 46:Issue 3(2020)
• Page Start: 537
• Page End: 570
• Publication Date: 2020-07-02
• Subjects: Law -- Commonwealth countries -- Periodicals; 349.11241
• DOI: 10.1080/03050718.2020.1812098
• Languages: English
• ISSNs: 0305-0718

Abstract

Abstract : The main features incorporated in the Schemes of Arrangement (SOA) in Malaysia under the Companies Act 2016 were designed over more than a century ago. For the first time, the company law framework has embraced corporate rescue laws with the introduction of two tailor-made corporate rescue mechanisms, Corporate Voluntary Arrangement and Judicial Management. This paper argues that the SOA, notwithstanding the presence of the corporate rescue mechanisms, may still be employed to achieve the objective of advancing corporate rescue for financially distressed private companies in Malaysia.