Flowchart 11: Managing controller (other than receiver and manager)

This flowchart and the explanatory text should be read with Information Sheet 29 External administration, controller appointments and schemes of arrangement: Most commonly lodged forms (INFO 29).

A managing controller is not required to be a registered liquidator: section 418(1).

Flowchart 11: Managing controller (other than receiver and manager)

Info 29 Flowchart 11 Published March 2020

Explanation of Flowchart 11: Managing controller (other than receiver and manager)[1]

Step Form or notice Notes

1

Form 504
Notification that a person has been appointed controller/entered into possession

Legislation: section 427(1A) or 427(1B). Form 504 is an ASIC-approved form.

Requirement: Lodgement is mandatory.

Tick-a-box choice (Details of company in receivership): Select ‘This notice is being given by the appointer of the controller under s427(1A)’ or ‘This notice is being given by the managing controller (other than receiver and manager) under s427(1B)’.

Lodgement: The managing controller, or the person appointing the managing controller, must lodge within 7 days after appointment.

Company status:[2] If this is the first external administrator or controller appointed to the company, the company status will change from REGD to EXAD after processing of the first of either Form 504 or Form 505 (Step 2) and will create a new appointment for the managing controller.

2

Form 505
Notification of appointment or cessation of an external administrator (appointment)

Legislation: section 427(2). Form 505 is an ASIC-approved form.

Requirement: Lodgement is mandatory.

Tick-a-box choice (Details of appointment): Managing controller (other than receiver and manager) of the property described in the schedule of property to this form.

Lodgement: The managing controller must lodge within 14 days after appointment. Online lodgement is preferred.[3]

Company status: If this is the first external administrator or controller appointed to the company, the company status will change from REGD to EXAD after processing of the first of either Form 504 (Step 1) or Form 505 and will create a new appointment for the managing controller.

3

Form 507
Report on company activities and property (ROCAP Part A) from
company officers

Legislation: section 429(2)(c)(i). Form 507 is an ASIC-approved form.

Requirement: Lodgement is mandatory.

Tick-a-box choice (Reason for report): Appointment of controller – s429(2)(b).

Lodgement: The managing controller must lodge within 1 month after receipt of the report. Online lodgement as structured data is preferred.

Note 1: Where the only property is scheme property of a registered scheme, different requirements apply: section 429A.

Note 2: If an extension is granted, managing controller must lodge Form 555 Notice of controller extending time to submit report on company activities and property: section 429(4).

with …

Form 5050
Notice of comments or statement that no comment is made relating to report on company activities and property

Legislation: section 429(2)(c)(i). ASIC has applied the number ‘5050’ to lodgement of the required information for administrative purposes (i.e. there is no actual Form 5050).

Requirement: Lodgement is mandatory.

Lodgement: The managing controller must lodge within 1 month after receipt of the report. Online lodgement is preferred.

and …

Form 911
Verification or certification of a document

Legislation: regulations 1.0.16 and 5.2.02. Form 911 is prescribed by Schedule 2 to the Corporations Regulations.

Requirement: Lodgement is mandatory.

Lodgement: The managing controller must lodge within 1 month after receipt of the report. When lodging online, Form 911 is a certification, not a separate form. Online lodgement is preferred.

4
(contingent)

Managing controller may require a report (Form 507)

Form 507
Report on company activities and property (ROCAP Part A)

Legislation: section 430(1) and regulation 1.0.03B. Form 507 is an ASIC-approved form.

Requirement: Lodgement is mandatory, contingent on the circumstances arising (if the managing controller ordered and received a report from others).

Tick-a-box choice (Purpose for lodgement of copy of Form 511): Controller, under reg 1.0.03B (a report prepared under s430(1)).

Lodgement: The managing controller must lodge within 7 days after receipt of the report from the other person. Online lodgement is preferred.

with ...

Form 511
Statement verifying report under s430(1), 475(2) or
446C(2)

Legislation: section 430(1) and regulation 1.0.03B. Form 511 is an ASIC-approved form.

Requirement: Lodgement is mandatory, contingent on the circumstances arising (if the managing controller ordered and received a report from others).

Tick-a-box choice (Purpose for lodgement of copy of Form 511): Controller, under reg 1.0.03B (a report prepared under s430(1)).

Lodgement: The managing controller must lodge within 7 days after receipt of the report from the other person. Online lodgement is preferred.

and…

Form 911
Verification or certification of a document

Legislation: regulation 1.0.16. Form 911 is prescribed by Schedule 2 to the Corporations Regulations.

Requirement: Lodgement is mandatory, contingent on the circumstances arising (if the managing controller ordered and received a report from others).

Lodgement: The managing controller must lodge within 7 days after receipt of the report from the other person. When lodging online, Form 911 is a certification, not a separate form. Online lodgement is preferred.

5

Form 507
Report on company activities and property (ROCAP Part A) by managing controller

Legislation: section 421A(2). Form 507 is an ASIC-approved form.

Requirement: Lodgement is mandatory.

Tick-a-box choice (Reason for report): Managing controller of property – s421A(1) (receiver and manager).

Lodgement: The managing controller must lodge the report within 2 months after control day. Online lodgement is preferred.

Note: If the managing controller omits prejudicial information, they must include a notice stating certain information has been omitted and summarising what the information is about, without disclosing the information itself.

6
(contingent)

Section 422 report required for possible misconduct

Submit
insolvency initial statutory report (under sections 533(1), 438D(1) or 422(1) of the Corporations Act 2001)

Legislation: section 422.

Requirement: Lodgement is mandatory, contingent on the circumstances arising (if it appears to the controller that a relevant person may have committed an offence in relation to the company, been negligent, or otherwise engaged in misconduct).

Tick-a-box choice (Under what provision are you lodging this report): Section 422 (receiver reports).

Lodgement: The managing controller must lodge as soon as practicable after forming an opinion. Online lodgement via the ASIC Regulatory Portal is preferred.

Note 1: A freeform written report can be lodged to comply with section 422, but submitting an insolvency initial statutory report is preferred.

Note 2: See Regulatory Guide 16 External administrators: Reporting and lodging (RG 16) for more details.

7

Form 5602
Annual administration return

Legislation: section 422A(3). Form 5602 is an ASIC-approved form.

Requirement: Lodgement is mandatory.

Lodgement: The managing controller must lodge within 3 months after the end of the 'control return year', which is the period of 12 months beginning on the day of appointment and each subsequent period of 12 months.

Online lodgement as structured data is required.

Note: See the additional guidance to INFO 29 for information on lodging Form 5602 where a replacement managing controller is appointed.

8

Form 505
Notification of appointment or cessation of an external administrator
(cessation)

Legislation: section 427(4). Form 505 is an ASIC-approved form.

Requirement: Lodgement is mandatory.

Tick-a-box choice (Ceasing, resignation or removal): Cease (or ‘Cessation of managing controller (other than receiver and manager)’ on paper form).

Lodgement: The managing controller must lodge within 7 days after cessation. Online lodgement is preferred.

Company status: If this is the only external administrator or controller appointed to the company, the company status will change from EXAD to REGD after this form is processed.

9

Form 5603
End of administration return

Legislation: section 422B(2). Form 5603 is an ASIC-approved form.

Requirement: Lodgement is mandatory.

Lodgement: The managing controller must lodge within 1 month after the control of the property of the corporation ends.

The managing controller must also give notice to the members, the creditors, the corporation or the external administrator (if appointed) that a return has been lodged, if requested to do so in writing: section 422B(4).

Online lodgement as structured data is required.

More information

For more information on external administration, visit www.asic.gov.au/insolvency or contact ASIC on 1300 300 630 or online at www.asic.gov.au/question.



[1] Types of forms: Information is lodged with, and received by, ASIC for recording on the company register as ‘forms’. Forms fall into one of the following categories:

  • a prescribed form, which is a form prescribed in Schedule 2 to the Corporations Regulations, or
  • an ASIC-approved form, which is a form that is not prescribed, but is one that ASIC may approve under section 350 of the Corporations Act and section 100-6 of Schedule 2, or
  • an ASIC administrative form, which is a form that is neither prescribed nor approved, but is one that has been given an administrative form number by ASIC for the purpose of identifying the type of information being lodged (e.g. Form 5011).

[2] Company status: Certain form lodgements cause company status changes. These may not apply if a company is subject to another external administration. The status of a company is recorded on ASIC’s database as:

  • REGD – registered
  • EXAD – under external administration and/or controller appointed
  • SOFF – strike-off action in progress
  • DRGD – deregistered

[3] Online lodgement: Controllers who are not registered liquidators cannot access the registered liquidator portal for online lodgement and must lodge most forms in paper format. Forms 5602 and 5603 can be lodged online via the registered agent portal.

Last updated: 30/03/2020 08:29