Fraudulent winding up liability: directors and officers can be held personally liable without limitation for company debts. If during winding up a company's business was carried on to defraud creditors or for a fraudulent purpose, the Tribunal may, on application by the Official Liquidator, Company Liquidator, any creditor or contributory, declare directors, managers, officers or any person knowingly party to the conduct personally responsible without any limitation of liability for the company's debts or liabilities, and may impose charges on debts or assets and make orders to enforce those charges; knowingly party persons are also liable under section 447.
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.
Fraudulent winding up liability: directors and officers can be held personally liable without limitation for company debts.
If during winding up a company's business was carried on to defraud creditors or for a fraudulent purpose, the Tribunal may, on application by the Official Liquidator, Company Liquidator, any creditor or contributory, declare directors, managers, officers or any person knowingly party to the conduct personally responsible without any limitation of liability for the company's debts or liabilities, and may impose charges on debts or assets and make orders to enforce those charges; knowingly party persons are also liable under section 447.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 
TaxTMI 
