Section 50 Release of liquidator: winding up by the High CourtI1

Article 148 (release of liquidator in winding up by the High Court) is amended as follows.

In paragraph (2)(a), for “a general meeting of” substitute “the company’s”.

For paragraph (4) substitute—

“(4)

A person other than the official receiver who has ceased to be a liquidator has his release in accordance with paragraphs (4A) to (4F).

(4A)

Where the person has been removed from office by a decision of the company’s creditors—

(a)

if the company’s creditors have decided against his release, the person has his release with effect from such time as the Department may, on the application of the person, determine, or

(b)

if the company’s creditors have not decided against his release, the person has his release with effect from the time at which notice is given to the High Court in accordance with the rules that the person has ceased to hold office.

(4B)

Where the person has died, the person has his release with effect from the time at which notice is given to the High Court in accordance with the rules that the person has ceased to hold office.

(4C)

Where the person has been removed from office by the High Court or by the Department, the person has his release with effect from such time as the Department may, on the application of the person, determine.

(4D)

Where the person has vacated office under Article 146(5), the person has his release with effect from such time as the Department may, on the application of the person, determine.

(4E)

Where the person has resigned, the person has his release with effect from such time as may be prescribed.

(4F)

Where the person has vacated office under Article 146(7)—

(a)

if any of the company’s creditors objected to the person’s release before the end of the period for so objecting prescribed by the rules, the person has his release with effect from such time as the Department may, on the application of the person, determine;

(b)

otherwise, the person has his release with effect from the time at which the person vacated office.

(4G)

Where the person is removed from office by a decision of the company’s creditors, any decision of the company’s creditors as to whether the person should have his release must be made by a qualifying decision procedure.”.

Before paragraph (5) insert—

“(4H)

Where a winding-up order made by the High Court is rescinded, the person (whether the official receiver or another person) who is the liquidator of the company at the time the order is rescinded has his release with effect from such time as the Court may determine.”.