THE REHABILITATION OF HANJIN SHIPPING – WHAT YOU NEED TO KNOW.
1. Current Situation Hanjin Shipping Co Ltd (“Hanjin Shipping”), applied for Court Rehabilitation to the Seoul Central District Court (Bankruptcy Division 6). On 1 September 2016 the said Court issued a decision accepting Hanjin’s application, thereby commencing the rehabilitation proceedings (“Rehabilitation”). 2. What is Rehabilitation? Rehabilitation is the procedure whereby debtor’s debts are adjusted by a Rehabilitation Plan which is admitted by the court under the “Debtor Rehabilitation and Bankruptcy Act” Under the Rehabilitation Plan, a debtor’s debts can be reduced, payment can be delayed, and interest rate can be lowered. 3. As a creditor, is there anything I need to do to get involved in the Court proceedings in South Korea? Creditors should report their claims between 20 September 2016 to 4 October 2016. As part of this claims notification, supporting documents or evidence should be submitted .