Section 47.1 — Bankruptcy and Insolvency Act: Appointment of interim receiver

If a notice of intention has been filed under section 50.4 or a proposal has been filed under subsection 62(1), the court may at any time after the filing, subject to subsection (3), appoint as interim receiver of all or any part of the debtor’s property, the trustee under the notice of intention or proposal; another trustee; or the trustee under the notice of intention or proposal and another trustee jointly. The appointment expires on the earliest of the taking of possession by a receiver, within the meaning of subsection 243(2), of the debtor’s property over which the interim receiver was appointed, the taking of possession by a trustee of the debtor’s property over which the interim receiver was appointed, and court approval of the proposal. The court may direct an interim receiver appointed under subsection (1) to do any or all of the following: carry out the duties set out in subsection 50(10) or 50.4(7), in substitution for the trustee referred to in that subsection or jointly with that trustee; take possession of all or part of the debtor’s property mentioned in the order of the court; exercise such control over that property, and over the debtor’s business, as the court considers advisable; take conservatory measures; and summarily dispose of property that is perishable or likely to depreciate rapidly in value. An appointment of an interim receiver may be made under subsection (1) only if it is shown to the court to be necessary for the protection of the debtor’s estate; or the interests of one or more creditors, or of the creditors generally. An application under subsection (1) is to be filed in a court having jurisdiction in the judicial district of the locality of the debtor.