Liquidator authority to accept transferee company securities as consideration in voluntary winding up, subject to dissent and purchase remedy. Where a company in voluntary winding up proposes transfer of business or property to another company, the Company Liquidator, with a special resolution authorising him, may accept shares, policies or similar interests in the transferee as consideration or arrange for members to participate in profits or benefits; such arrangements require secured creditors' consent and bind members. A dissenting non voting member may demand the liquidator abstain or purchase his interest at an agreed or valuated price, and purchase money raised by special resolution must be paid before dissolution.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Liquidator authority to accept transferee company securities as consideration in voluntary winding up, subject to dissent and purchase remedy.
Where a company in voluntary winding up proposes transfer of business or property to another company, the Company Liquidator, with a special resolution authorising him, may accept shares, policies or similar interests in the transferee as consideration or arrange for members to participate in profits or benefits; such arrangements require secured creditors' consent and bind members. A dissenting non voting member may demand the liquidator abstain or purchase his interest at an agreed or valuated price, and purchase money raised by special resolution must be paid before dissolution.
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