Corporations Regulations 2001

CHAPTER 5 - EXTERNAL ADMINISTRATION  

PART 5.5 - VOLUNTARY WINDING UP  

Division 2 - Simplified liquidation process  

Subdivision C - Ceasing of simplified liquidation process  

REGULATION 5.5.07   LIQUIDATOR MUST CEASE TO FOLLOW THE SIMPLIFIED LIQUIDATION PROCESS  

5.5.07(1)  
For the purposes of paragraph 500AC(1)(b) of the Act, a prescribed circumstance is that the liquidator believes on reasonable grounds that:

(a)  the company, or a director of the company, has engaged in conduct; and

(b)  the conduct involved fraud or dishonesty; and

(c)  the conduct has had, or is likely to have, a material adverse effect on the interests of the creditors as a whole or of a class of creditors as a whole.

5.5.07(2)  
The liquidator is taken to have ceased to follow the simplified liquidation process on the day on which the liquidator first held the belief.




This information is provided by CCH Australia Limited Link opens in new window. View the disclaimer and notice of copyright.