HC Deb 28 March 1939 vol 345 cc1860-1
2. Sir George Broadbridge

asked the President of the Board of Trade whether his attention has been called to the remuneration and expenses paid to receivers appointed by debenture holders of companies; will he consider introducing legislation to amend Part VI of the Companies Act, 1929, so as to provide for a standard scale of fees and expenses, and also for the notification to the shareholders of such companies of a statement of receipts and expenses respecting such receivership; and that, in the event of there being no assets for distribution to the shareholders, a liquidator be appointed by the court to wind up such company?

Mr. Stanley

I have received no complaints on the matter referred to by my hon. Friend. Every receiver appointed by debenture holders is required to file an abstract of his receipts and payments with the Registrar of Companies every six months and these abstracts are open to inspection. Where a receiver has been appointed by debenture holders and the company subsequently goes into liquidation, it is open to the liquidator to apply to the court to fix the amount of the receiver's remuneration. If there is no liquidation, it is always open to a creditor or shareholder of a company to present a petition to the court for a compulsory winding-up order. In the circumstances, I see no ground for legislation. The points raised in the question have, however, been noted for consideration when the amendment of the Companies Act, 1929, is under review.