(1)An interim receiving order must require the interim receiver to inform the enforcement authority and the court as soon as reasonably practicable if he thinks that—
(a)any property to which the order applies by virtue of a claim that it is recoverable property is not recoverable property,
(b)any property to which the order applies by virtue of a claim that it is associated property is not associated property,
(c)any property to which the order does not apply is recoverable property (in relation to the same unlawful conduct) or associated property, or
(d)any property to which the order applies is held by a person who is different from the person it is claimed holds it,
or if he thinks that there has been any other material change of circumstances.
(2)An interim receiving order must require the interim receiver—
(a)to report his findings to the court,
(b)to serve copies of his report on the enforcement authority and on any person who holds any property to which the order applies or who may otherwise be affected by the report.
Cases considering section 255 5
[2010] EWCA Civ 759 · 7 July 2010
Section 255(2) requires the interim receiver to report findings to the court and serve the report on affected persons. The report was the basis of the evidence used in the recovery proceedings (see para [62]).
[2007] EWHC 2553 (QB) · 9 November 2007Interprets
The court treated the receiver’s report as an independent investigative report with persuasive, but not binding, evidential weight. (see paras [25]-[30])
[2006] EWHC 2406 (Admin) · 29 September 2006Limits
Section 255 imposes reporting duties on the interim receiver towards the court and enforcement authority. The judgment uses it to distinguish duties concerning the same unlawful conduct from any prohibition on using information about different unlawful conduct. (see paras [9]-[11])
Section 255(1)(a) requires reporting where property treated as recoverable property is thought not to be recoverable property. It is included in the description of the reporting regime and is not separately determined. (see para [9])
Section 255(1)(b) requires reporting where property treated as associated property is thought not to be associated property. It is cited as part of the statutory reporting framework, without separate analysis. (see para [9])
Section 255(1)(c) requires reporting where property outside the order is recoverable or associated property in relation to the same unlawful conduct. The words confine the statutory reporting duty, but do not prevent use of information concerning different unlawful conduct. (see paras [9]-[11])
Section 255(1)(d) requires reporting of a change in the person holding property or another material change of circumstances. It is described as part of the receiver’s reporting obligations and is not separately construed. (see para [9])
Section 255(2)(a) requires the interim receiver to report findings to the court. It is cited to explain the receiver’s statutory reporting duties, without a distinct issue being decided. (see para [9])
Section 255(2)(b) requires service of the receiver’s report on the enforcement authority and affected persons. It is cited as part of the reporting regime and is not separately construed. (see para [9])
What each judgment says about section 255 is in the case-law panel in the full Act.
325.An interim receiving order must, under this section, require an interim receiver to take a number of steps to keep the Director and the court informed. He must report as soon as practicable if he forms the opinion that:
any property to which the order applies which is claimed to be recoverable property is not in fact recoverable, or
any property to which the order applies which is claimed to be associated property is not in fact associated property, or
any property not subject to the order is in fact recoverable by virtue of the same unlawful conduct or is associated property, or
any property to which the order applies is held by someone different to the person identified on the claim form.
326.All these possibilities are matters to which the interim receiver is required to be alert under the provisions of section 247(2). He must also report any other material change of circumstances. And he must finally make a formal report of his findings to the court, and serve copies of it on all those who may be affected by it. This report may comprise a comprehensive account of the nature and origins of, and interests in, the property in question. It will be capable of being used as a basis to establish agreed facts and to identify disputed matters that will fall to be resolved at the final hearing.