Declaration of solvency requires directors to verify ability to pay debts before voluntary winding up, with registration and proof. A declaration of solvency must be sworn by the director(s) after a full inquiry that the company has no debt or will be able to pay its debts in full from asset proceeds; it must be delivered to the Registrar within five weeks before the winding-up resolution, state that the winding up is not to defraud any person, be accompanied by the auditors' profit and loss report and a balance sheet showing assets and liabilities, and, where assets exist, by a registered valuer's report. A rebuttable presumption and criminal penalties attach where debts remain unpaid.
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Provisions expressly mentioned in the judgment/order text.
Declaration of solvency requires directors to verify ability to pay debts before voluntary winding up, with registration and proof.
A declaration of solvency must be sworn by the director(s) after a full inquiry that the company has no debt or will be able to pay its debts in full from asset proceeds; it must be delivered to the Registrar within five weeks before the winding-up resolution, state that the winding up is not to defraud any person, be accompanied by the auditors' profit and loss report and a balance sheet showing assets and liabilities, and, where assets exist, by a registered valuer's report. A rebuttable presumption and criminal penalties attach where debts remain unpaid.
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