220 ILCS 5/4-501
2021 Illinois Compiled Statutes|Chapter 220 - UTILITIES|220 ILCS 5/ - Public Utilities Act.|Article IV - General Powers And Duties Of Commission - Intergovernmental Cooperation - Construction

Sec. 4-501.         Small public utilities and telecommunications carriers;  circuit  court appointment of receiver; bond.(a) If a public utility or telecommunications carrier that has fewer than  7,500 customers:(1) is unable or unwilling to provide safe, adequate,     or reliable service;(2) no longer possesses sufficient technical,     financial, or managerial resources and abilities to provide safe, adequate, or reliable service;(3) has been actually or effectively abandoned by its     owners or operators;(4) has defaulted on a bond, note, or loan issued or     guaranteed by a department, office, commission, board, authority, or other unit of State government;(5) has failed to comply, within a reasonable period     of time, with an order of the Commission concerning the safety, adequacy, efficiency, or reasonableness of service; or(6) has allowed property owned or controlled by it to     be used in violation of a final order of the Commission;    the Commission may file a petition for receivership and a verifying affidavit  executed by the executive director of the Commission or a person designated by  the executive director asking the circuit court for an order attaching the  assets  of the public utility or telecommunications carrier and placing the public  utility or telecommunications carrier under the control and responsibility of a  receiver.(b) The court shall hold a hearing within 5 days of the filing of the  petition.  The petition and notice of the hearing shall be served upon the  owner  or designated agent of the public utility or telecommunications carrier as  provided under the Civil Practice Law, or the petition and notice of hearing  shall be posted in a conspicuous area at a location where the public utility or  telecommunications carrier normally conducts its business affairs, not later  than 3 days before the time specified for the hearing unless a different  period is fixed by order of court.If a petition for receivership and verifying affidavit executed by the  executive director of the Commission or the person designated by the executive  director allege an immediate and serious danger to residents constituting an  emergency, the court shall set the matter for hearing within 3 days and may  appoint a temporary receiver ex parte upon the strength of the petition and  affidavit  pending a full evidentiary hearing.  The court shall hold a full evidentiary  hearing on the petition within 5 days of the appointment of the temporary  receiver.  The public utility or telecommunications carrier shall be served  with the petition, affidavit, and notice of hearing in the manner provided in  this subsection not later than 3 days before the time specified for the  full evidentiary hearing, unless a different period is fixed by order of court.(c) After a hearing, the court shall determine whether to grant the  petition.  A receiver appointed under this Section shall be a responsible person,  partnership, or corporation knowledgeable in the operation of the type of  public utility or telecommunications carrier that is the subject of the  petition for receivership.(d) A receiver appointed by the court shall file a bond.  The receiver  shall operate the public utility or telecommunications carrier to preserve its  assets and to serve the best interests of its customers.  The receiver  appointed shall directly or by its agents and attorneys enter upon and take  possession of the public utility's or telecommunications carrier's facilities  and  operations  and may exclude from the public utility's or telecommunications carrier's  facilities any or all of the public utility's or telecommunications carrier's  officers, agents, or employees and all persons claiming under them.  The  receiver  shall have possession and control the facilities and shall  exercise all rights and powers with respect to the facilities that could be  exercised by the  public utility or telecommunications carrier.  The receiver shall  maintain, restore, insure, and make all proper repairs to the public utility or  telecommunications  facilities.  The receiver shall have the powers and duties necessary for the  continued operation of the public utility or telecommunications carrier and the  provision of continuous and adequate services to customers.(e) The receiver shall, in the performance of the powers conferred, act  under  the supervision of the court making the appointment.  The receiver is at all  times subject  to the orders of the court and may be removed by the court.  The court may  enter other orders that it considers appropriate for the exercise by the  receiver of functions specifically set forth in this Section.  The receiver shall be compensated from the assets of the public utility or  telecommunications carrier in an amount to be determined by the court.  In  addition, in a suit, action, or proceeding by or against the receiver of a  public utility or telecommunications carrier, the fees, counsel fees, and  expenses of the receiver, if any, that are incurred to prosecute or defend  the suit, action, or proceeding shall be paid out of the assets of the  public utility or telecommunications carrier.(f) If the receiver determines that the public utility's or  telecommunications  carrier's actions that caused it to be placed under the control and  responsibility of the receiver were due to misappropriation or wrongful  diversion of the assets or income of the company or to other misconduct by a  director, officer, or manager of the company, the receiver shall file a  petition  with the circuit court that issued the order of receivership for an order that  the director, officer, or manager be ordered to pay compensatory damages to  the  company because of the misappropriation, diversion, or misconduct.(g) Control of and responsibility for the public utility or  telecommunications carrier shall remain in the receiver until, upon a showing  of  good cause by the public utility or telecommunications carrier, the court  determines that it is in the best interests of its customers that the public  utility or telecommunications carrier be returned to the owners or the court  determines that the receiver is no longer required. The court may also direct  the receiver to liquidate the assets of the public utility or  telecommunications carrier in the manner provided by law.(h) The appointment of a receiver shall be in addition to any other remedies  provided by law.    (Source: P.A. 91-357, eff. 7-29-99.)