§ Mr. Freeman
asked the Secretary of State for Trade and Industry whether he will introduce legislation to permit holders of zero coupon corporate debt obligations to claim for the full repayment of accrued interest in the event of bankruptcy of the issuer.
§ Mr. Fletcher
Clause 144(2) of the Insolvency Bill provides that a creditor who has contracted for interest to be paid on his debt can prove for such interest in full in respect of any period up to the date of the commencement of the bankruptcy. By virtue of the provisions of paragraph 11 of schedule 3 to that Bill this provision will also apply in the case of a corporate insolvency.508W