Liquidating business nz rape and dating violence

07 Feb

This is the most common form of liquidation and essentially means that the shareholders have appointed the liquidator.

Generally, the consent of 75 percent of shareholders is required to make the appointment.

These are known as the 'phoenix company' provisions.

The main exception is where the new company buys the old company's assets from its receiver or liquidator.

Once a Liquidator is appointed the Liquidator has total control of the company, and while the directors remain in office, they cease to hold any powers.

A Liquidator acts in the statutory capacity as an agent for the company in liquidation.

Before his arrest in 2007, Philip had his own bodyguards, owned two black 300C Chryslers, was bankrolling Richmond Athletic Football Club and bought a m mansion in Redwood Valley, near Nelson.In this situation the directors must write to all creditors of the old company advising them of the new company's formation.Also, where directors are consistently involved with failed companies, they can be barred from acting as directors in future, on application to the Ministry of Business, Innovation and Employment or the Court.However, if the new company has the same or a similar name, or trading name, as that of the liquidated company, the directors can be held personally liable for the debts of the new company, unless they obtain the leave of the court.They can also face a substantial fine or even imprisonment.*Some sections of this website are restricted to paid subscribers Log in or Subscribe Now to view.There is nothing preventing the directors from forming a new business.If the company continues to trade and incur more debt, you may be personally liable and could face prosecution for reckless or insolvent trading.Broadly, the duties of a Liquidator divide into two categories, the first principal duty being: “To take possession of, protect, realise, and distribute the assets, or the proceeds of the realisation of the assets, of the company to its creditors in accordance with this Act; and if there are surplus assets remaining, to distribute them, or the proceeds of the realisations of the surplus assets, in accordance with section 313(4) of this Act; In a reasonable and efficient manner.” The second principal duty of a Liquidator is to report on the affairs of the company and the conduct (including any proposals for the conduct of the liquidation) to the creditors, shareholders and the Registrar of Companies.If your company is unable to meet its debts as they fall due, has more debt than the value of its assets, you should seek professional advice immediately.As a director or shareholder of the company you must take proactive steps to minimise the potential impact on creditors.