Section 453C — Corporations Act 2001: Eligibility criteria for restructuring

(1) The eligibility criteria for restructuring are met in relation to a company if, on the day on which a restructuring practitioner for the company is appointed: (a) in a case where the regulations prescribe a test for eligibility based on the liabilities of the company—that test is satisfied; and (b) no person who: (i) is a director of the company; or (ii) has been a director of the company within the 12 months immediately preceding that day; has been a director of another company that has been under restructuring or been the subject of a simplified liquidation process within a period prescribed by the regulations, unless exempt under regulations made for the purposes of subsection (2); and (c) the company has not been under restructuring or been the subject of a simplified liquidation process within a period prescribed by the regulations, unless exempt under regulations made for the purposes of subsection (2). (2) The regulations may prescribe: (a) tests for eligibility based on the liabilities of companies for the purposes of paragraph (1)(a); and (b) circumstances in which the directors of companies are exempt from the requirement in paragraph (1)(b); and (c) circumstances in which companies are exempt from the requirement in paragraph (1)(c).