Regulatory Alerts2017-06-15
Priority of Claims in the Winding-Up of Banking Institutions and Controlling Companies
The Bank of Namibia has issued a determination establishing a statutory order of priority for claims during the liquidation of authorized banking institutions and controlling companies. The ruling mandates that liquidation expenses and employee remuneration rank first, followed by deposit liabilities capped at N$25,000 per depositor, secured creditors, and finally general creditors. Effective 15 June 2017, liquidators must distribute surpluses according to the Insolvency Act and submit a Final Distribution and Liquidation Account to the Bank within thirty days of payment.
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