Corporations (Aboriginal and Torres Strait Islander) Act 2006

CHAPTER 11 - EXTERNAL ADMINISTRATION  

PART 11-5 - WINDING UP  

Division 526 - Winding up  

SECTION 526-5   526-5   GROUNDS FOR COURT ORDERED WINDING UP  
The following are the grounds on which an Aboriginal and Torres Strait Islander corporation may be wound up:

(a)  the corporation has by special resolution resolved that it be wound up by the Court;

(b)  the business or operations of the corporation were not commenced within 1 year after its registration or have been suspended for a continuous period of 1 year;

(c)  the corporation has ceased to satisfy a requirement for registration imposed by section 141-5 , 141-10 or 141-15 ;

(d)  section 26-15 precludes the continued registration of the corporation;

(e)  the officers of the corporation have acted in the affairs of the corporation:


(i) in their own interests rather than in the interests of the members of the corporation as a whole; or

(ii) in a way that appears to be unfair or unjust to the members of the corporation;

(f)  the affairs of the corporation are being conducted in a way that is:


(i) oppressive; or

(ii) unfairly prejudicial to, or unfairly discriminatory against, a member or members of the corporation; or

(iii) contrary to the interests of the members of the corporation as a whole;

(g)  an act or omission, or a proposed act or omission, by or on behalf of the corporation was or would be:


(i) oppressive; or

(ii) unfairly prejudicial to, or unfairly discriminatory against, a member or members of the corporation; or

(iii) contrary to the interests of the members as a whole;

(h)  a resolution, or a proposed resolution, of a class of members of the corporation, was or would be:


(i) oppressive; or

(ii) unfairly prejudicial to, or unfairly discriminatory against, a member or members of the corporation; or

(iii) contrary to the interests of the members of the corporation as a whole;

(i)  the corporation is insolvent;

(j)  the directors of the corporation have failed to comply with a notice that the Registrar has given the directors under section 439-20 ;

(k)  the corporation has failed, for a prescribed period, to lodge any financial or other reports required to be lodged by Part 7-3 ;

(l)  by reason of the complexity or magnitude of the activities of the corporation, it is inappropriate that it continue to be registered under this Act;

(m)  the Court is satisfied that it is in the interests of:


(i) the public; or

(ii) the corporation ' s members; or

(iii) the corporation ' s creditors;
that the corporation should be wound up;

(n)  the Court is satisfied that it is just and equitable that the corporation be wound up.




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