(1) The Court may order that a company is not eligible for temporary restructuring relief if there are not reasonable grounds to believe any of the following:
(a) the company is insolvent, or is likely to become insolvent before the declaration under paragraph 458E(1)(a) expires;
(b) the eligibility criteria for restructuring would be met in relation to the company if a restructuring practitioner were appointed on any day after notice of the declaration made under subparagraph 458E(1)(a)(i) is published on which the declaration has not expired;
(c) the company has taken all reasonable steps to appoint a restructuring practitioner;
(d) the company will take all reasonable steps to appoint a restructuring practitioner before the expiry of the declaration made by the company under subsection 458E(1).
(2) The Court may make an order under subsection (1):
(a) on the application of:
(i) a creditor of the company; or
(ii) ASIC; or
(b) on the Court's own initiative.
(3) If the Court makes an order in relation to a company under subsection (1), the directors of the company must within 5 business days after the order is made:
(a) publish notice of the order in the prescribed manner; and
(b) give ASIC a copy of the order.
Note: Failure to comply with this subsection is an offence (see subsection 1311(1)).
(4) Nothing in this section limits the power of the Court to make an order that a company is not eligible for temporary restructuring relief for any other reason.