Liquidation of companies-bankruptcy and liquidation, Financial Accounting

LIQUIDATION OF COMPANIES

(a) Methods of Winding Up:

A company may be wound up:By the court, Voluntarily, either as a members' or a creditors' winding up; or Subject to the supervision of court.

Grounds for compulsory winding up:

A company may be wound up by the court under s.219 if:The company so resolves by special resolution, The number of members fall below seven, or two if a private company tetc.

Persons Who May Petition:

A petition may be presented by any of the following: A Creditor, A Contributory, The Official, The Company Receiver.

The Petition:

The petition must be in the prescribed form and verified by affidavit, and must be advertised in the Gazette and a local paper seven clear business days before the hearing.

Interim Liquidator
:

An application to the court for such an appointment (usually of the O.R.) may be made at any time between presentation and hearing, especially if the assets are in jeopardy s.235: he takes control of all the company's property and no legal proceedings can thereafter be begun or continued against the company without leave of the court s.228.

Posted Date: 12/13/2012 2:11:26 AM | Location : United States







Related Discussions:- Liquidation of companies-bankruptcy and liquidation, Assignment Help, Ask Question on Liquidation of companies-bankruptcy and liquidation, Get Answer, Expert's Help, Liquidation of companies-bankruptcy and liquidation Discussions

Write discussion on Liquidation of companies-bankruptcy and liquidation
Your posts are moderated
Related Questions
Assuming the robot is placed on track at the packing station facing away from the station) the robot traverses the entire track. During this step, the robot will follow a left-hand

What is the function of balance sheet

Prepare a year trading cash budget: Gary Hart needs to calculate how much working capital he will need in his first year as a restaurateur. An accountant friend recommends he

Real estate depreciated under MACRS rules is subject to cost recovery using a mid-year convention. Mike converted his personal residence (acquired in 2001) to rental property th

Apple Corporation has been hearing complaints from some shareholders about returning some of the $150 billion in cash that the corporation has. Some shareholders think a large divi

APPLICATION FOR GRANT 1) An application for a grant of representation ("representation" means the probate of a will or the grant of letters of administration) is made in such a

Dividends During the year, the company paid a dividend of Sh.2 per share on the ordinary share s outstanding and Sh.1 on the preference shares outstanding. The company is now pr

Various types of accounting changes can affect the financial statements of a business enterprise differently. Assume that the following list describes changes that have a material

Is goodwill a fictitious asset?

You have observed the following returns over time: Year Stock X Stock Y Market 2006 13% 13%