Liquidazione coatta amministrativa

Companies operating in certain regulated sectors (such as, notably, banking, financial and insurance) are not subject to bankruptcy liquidation, but to the procedure of “liquidazione coatta amministrativa”. The general rule is that in this proceeding the receiver (named Extraordinary Commissioner) is appointed by the Government (the Bank of Italy for banks and financial intermediaries, IVASS for insurance companies) as the authority in charge of approving key decisions within the proceeding.

The main difference from regular bankruptcy liquidation is that “liquidazione coatta amministrativa” is specifically aimed at directing the liquidation activity under the direction of the same authority in charge of supervising regulated sectors of the economy, in a state of solvency.