Corporate insolvency applies to registered companies, limited liability partnerships or friendly and provident societies.
The three main forms of insolvency are liquidation, administration and receivership. The procedures in each are quite distinct and are detailed in the Insolvency Act 1986 and associated legislation. Prior to devolution, the Accountant in Bankruptcy had no involvement in corporate insolvency but now has a responsibility to enter details of receiverships and liquidations of Scottish registered companies and friendly and provident societies in the register of insolvencies and to receive certain returns and reports from receivers and liquidators.
The Accountant in Bankruptcy has no statutory duty to supervise the process of corporate insolvency nor to monitor the general conduct of the insolvency practitioners who are appointed as receivers or liquidators.