HL Deb 23 October 1985 vol 467 cc1223-5

173 Before Clause 66, insert the following new clause: ("No liquidator appointed or nominated by company in voluntary winding up. .—(1) This section applies where, in the case of a voluntary winding up, no liquidator has been appointed or nominated by the company. (2) The powers of the directors of the company shall not be exercised, except with the sanction of the court or (in the case of a creditors' voluntary winding up) so far as may be necessary to secure compliance with section 68 below, during the period before the appointment or nomination of a liquidator of the company. (3) Subsection (2) above does not apply in relation to the powers of the directors of the company—

  1. (a) to dispose of perishable goods and other goods the value of which is likely to diminish if they are not immediately disposed of; and
  2. (b) to do all such other things as may be necessary for the protection of the company's assets.
(4) If the directors of the company without reasonable excuse fail to comply with this section, they shall be liable on summary conviction to a fine not exceeding the statutory maximum'.").

174 Clause 66, page 48, line 44, leave out 'and'.

175 Page 49, line 2, leave out 'local'.

176 Page 49, line 6, at end insert 'and

  1. (d) during the period before the day on which the creditors' meeting is to be held, furnish creditors free of charge with such information concerning the affairs of the company as they may reasonably require;
and the notice of the creditors' meeting shall state the duty imposed by paragraph (d) above'.

177 Page 49, leave out lines 8 to 19 and insert—

  1. '(a) make out a statement in the prescribed form as to the affairs of the company;'.

178 Page 49, line 20, leave out 'and that list'.

179 Page 49, line 22, at end insert— '(3A) The statement as to the affairs of the company shall be verified by affidavit by the liquidator and shall show—

  1. (a) particulars of the company's assets, debts and liabilities;
  2. (b) the names and addresses of the company's creditors;
  3. (c) the securities held by them respectively;
  4. (d) the dates when the securities were respectively given; and
  5. (e) such further or other information as may be prescribed.'.

180 Page 49, line 25, leave out 'duties imposed by subsections (2)(c) and (3)(c)' and insert 'duty imposed by subsection (2)(c)'

181 Page 49, line 40, at end insert '; and, accordingly the winding up shall become a creditors' voluntary winding up and any appointment made or committee established by the creditors' meeting shall be deemed to have been made or established by the creditors' meeting so mentioned. (6A) Where the creditors' meeting is held three months or less before the end of the first year from the commencement of the winding up, nothing in section 594 of the 1985 Act (as applied by subsection (6) above) shall require the liquidator to summon a meeting of creditors at the end of that year.'.

182 Page 50, line 2, leave out 'subsections (2) and (3) above' and insert 'this section'.

183 Clause 67, page 50, line 26, after '(2)' insert 'or (3)'.

184 Page 50, line 28, after '(4)' insert 'or (4A)'.

185 Page 50, line 38, leave out 'subsection (2), (4) or (5) above' and insert 'this section'.

186 Clause 68, page 51, line 4, leave out 'the day, or the day next following' and insert 'a day not later than the fourteenth day after'.

187 Page 51, line 9, leave out from 'creditors' to 'and* in line 10 and insert 'not less than seven days before the day on which that meeting is to be held'.

188 Page 51, line 12, leave out 'local'.

189 Page 51, line 17, leave out subsection (3) and insert— '(3) The notice of the creditors' meeting shall state either—

  1. (a) the name and address of a person qualified to act as an insolvency practitioner in relation to the company 1225 who, during the period before the day on which that meeting is to be held, will furnish creditors free of charge with such information concerning the company's affairs as they may reasonably require; or
  2. (b) a place in the relevant locality where, on two business days stated in the notice and falling before the day on which that meeting is to be held, a list of the names and addresses of the company's creditors will be available for inspection free of charge.'.