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Section 425 of Insolvency Act CAP 53: Applications to the Court for liquidation of companies

    

(1) An application to the Court for the liquidation of a company may be made any or all of the following
—
(a) the company or its directors;
(b) a creditor or creditors (including any contingent or prospective creditor or creditors);
(c) a contributory or contributories of the company;
(d) a provisional liquidator or an administrator of the company; (e) if the company is in voluntary liquidation, the liquidator.
(2) However, except as otherwise provided by this section, a contributory is not entitled to make a liquidation application unless either—
(a) the number of members is reduced below two; or (b) the relevant shares (or some of them) either—
(i) were originally allotted to the contributory, or have been held by the contributory, and registered in the contributory's' name, for at least six months during the eighteen months preceding the commencement of the liquidation; or
(ii) have devolved on the contributory through the death of a former holder.
(3) A person who is liable under section 386 to contribute to a company's assets on its in liquidation may make an application on either of the grounds specified in section 424(1)(e) and (g), in which case subsection (2) does not apply, but, unless the person is a contributory otherwise than under section 386, the contributory may not as such make a liquidation application on any other ground.
(4) A liquidation application on the ground specified in section 424(1)(f) may only be made by one or more creditors.
(5) The Attorney-General may make a liquidation application if—
(a) the ground of the application is that specified in section 424(1)(b); or (b) it is a case to which section 426 applies.
(6) The Attorney-General may also make an application for the liquidation of a company if, after receiving from an inspector appointed to conduct an investigation into the affairs of a company under the Companies Act (Cap. 486) a copy of a report of the investigation, the Attorney-General considers that, as a result of the report, the company should be liquidated.
(7) Subject to subsection (8), the Official Receiver or by any other person authorised under the other provisions of this section may make a liquidation application to the Court in respect of a company that is in voluntary liquidation.
(8) The Court may make a liquidation order on such an application only if it is satisfied that the voluntary liquidation cannot be continued with due regard to the interests of the creditors or contributories.

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Disclaimer: This document is not to be taken as legal advise.

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