§ 166 After Clause 71, insert the following new clause:
§ Voluntary liquidations
§ ("Amendment of section 283 of the 1948 Act
§ .—(1) In section 283 of the 1948 Act (statutory declaration of solvency in a winding up)—
- (a) in subsection (2)(a) for the words from "and is delivered" to "date" there shall be substituted the words "or on that date but before the passing of that resolution";
- (b) the following subsection shall be inserted after subsection (2)—
§ "(2A) A declaration made by any directors of a company in compliance with subsection (2)(a) of this section shall be delivered to the registrar of companies before the expiry of the period of fifteen days immediately following the date on which the resolution for winding up the company is passed.";
- (c) in subsection (4) the words "and delivered", in each place where they occur, shall cease to have effect; and
- (d) the following subsection shall be inserted after subsection (4)—
§ "(4A) Where any declaration required to be delivered to the registrar by subsection (2A) of this section is not so delivered within the time prescribed by that subsection, the company and every officer in default shall be guilty of an offence and liable on summary conviction to a fine not exceeding one-fifth of the statutory maximum or on conviction after continued contravention to a default fine not exceeding one-fiftieth of the statutory maximum.".
§ (2) Subsection (1) above shall not apply in relation to any winding up commenced before the appointed day.
§ Lord Mackay of Clashfern
My Lords, I beg to move that this House doth agree with the Commons in their amendment. With this amendment, if I may, should like to take Amendment No. 231. The purpose of this new clause is to relax the provisions of Section 283 of the 1948 Act which relates to members' voluntary liquidation. At present for a liquidation to be a members' voluntary winding-up a statutory declaration of solvency must be made by the directors and delivered to the Registrar of Companies before the date of the resolution to wind up the company. The amendments will provide that for it to be a members' rather than a creditors' voluntary winding-up the declaration must be made before the resolution to wind up the company, but the period for delivery of the declaration to the registrar is extended, and the sanction for failure to deliver will be a criminal penalty rather than making what is really a members' voluntary winding-up into a creditors' winding-up.
§ Moved, That this House doth agree with the Commons in the said amendment—(Lord Mackay of Clashfern.)
§ On Question, Motion agreed to.