Declaration of solvency, Business Law and Ethics

DECLARATION OF SOLVENCY:

                                      A voluntary winding up is a members' voluntary winding up only if the directors make and deliver to the registrar a declaration of solvency:

This is a statutory declaration that the directors have made a full inquiry into the affairs of the company and are of the opinion that it will be able to pay its debts in full within a specified period, not exceeding 12 months.

The declaration is made by all the directors or, if there are more than two directors, by a majority of them.

The declaration includes a statement of the company's assets and liabilities as at the latest practicable date before the declaration is made.

The declaration must be:

(a) made within the thirty days immediately preceding the date of the passing of the resolution for winding up, and

(b) delivered to the registrar for registration before that date: s.276(2)

If the liquidator later concludes that the company will be unable to pay its debts he shall further notify the registrar accordingly and call a meeting of creditors and lay before them a statement of assets and liabilities: s.281(1)

Posted Date: 1/15/2013 4:58:57 AM | Location : United States







Related Discussions:- Declaration of solvency, Assignment Help, Ask Question on Declaration of solvency, Get Answer, Expert's Help, Declaration of solvency Discussions

Write discussion on Declaration of solvency
Your posts are moderated
Related Questions
Elements of a Contract - Offer Further this is an unequivocal manifestation through one party of its intention to contract into another. So well it is a clear intimation for i

Legal Status:  A promoter is not an agent of the company he promotes.  However, the English courts have held that he stands in a fiduciary relationship to the company he promo

Redemption of Shares: Section 60 (1) empowers a company limited by shares to issue preference shares that are, or may be at the option of the company are to be liable, to be r

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4 Who are refugees

Choice of Name - Name Clause: However, it might be relevant to note that the registrar of English companies, pursuant to his powers under the corresponding section of the Engl

QUESTION Many governments around the world have sought to address the problems posed by materials on the Internet that are illegal under their offline laws, and those considered

Statutes of General Application: Whereas there is no authoritative definition of a "statute of simple application" the phrase is presumed to refer to those statutes that appli

Question 1: The Bill of Lading possesses the key features of an efficient transport document. Discuss. Question 2: A CIF sale is not a sale of goods but a Sale of Do

Many stakeholders emphasised that it would be difficult to quantify phoenix activity as phoenix operators are very skilled at 'flying under the radar'. Impacts, beyond those listed

Contributions of Equity Contributions of Equity as: Developed the so called maxims of equity and Provided additional remedies and Provided for the discovery of