The Liquidator will then convene a meeting of creditors, which must be held within 11 days after the day of the meeting of shareholders. At that meeting, the creditors may resolve to remove the Liquidator and appoint another Registered Liquidator. Creditors may also resolve to appoint a Committee of Inspection.
The main tasks of the Liquidator are as follows:
A Liquidator may commence legal proceedings to recover claims for voidable transactions such as unfair preferences, uncommercial transactions, unfair loans or unreasonable director related transactions. A Liquidator may also commence legal proceedings against the directors to recover claims for insolvent trading.
A creditors’ voluntary liquidation may follow a members’ voluntary liquidation, a voluntary administration or a Deed of Company Arrangement.
A creditors’ voluntary liquidation is appropriate when: