Administrators & liquidators
We aim to provide a seamless experience for our claimants. Insolvency practitioners are crucial to achieving this goal. They can improve the claims process by supplying information about insolvent firms.
The Australian Financial Complaints Authority (AFCA) handles cases of financial misconduct.
As part of the resolution, they contact insolvency practitioners to see if there are any monies that can be available to pay compensation. The consumer is considered an unsecured creditor and can lodge a proof of debt as part of the insolvency process.
If the insolvency practitioner doesn’t pay a determination, consumers can subsequently lodge a claim with the CSLR.
Once a claim is received, the CSLR is required by law to confirm that any payment made will indeed be the last resort for compensation. We may seek information from the insolvency practitioner to confirm this.
Claims must fall under the CSLR legislation to be eligible.
We may ask the insolvency practitioner for information, including:
- details about the insolvent financial firm
- payments to debtors.
Insolvency practitioners must provide information and documentation requested within specified time frames under the CSLR legislation.
Insolvency practitioners fact sheetSubrogation
When the CSLR makes a compensation payment, it is subrogated to the claimant’s rights and remedies under the relevant AFCA determination. This means the CSLR is legally entitled to pursue any recovery or legal action the claimant could have taken, up to the amount the CSLR has paid in compensation.
We welcome collaboration with insolvency practitioners. Contact us at any stage of our claims-handling process if you have queries or require additional support
