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Chapter 11

Members’ voluntary winding up

The directors make a declaration of solvency stating that they are of
the opinion that the company will be able to pay its debts within 12
months. It is a criminal offence to make a false declaration. The

declaration must be made not more than five weeks before the
resolution to wind up is passed and must be delivered to registrar
within 15 days.

Winding up commences from the date of passing of the appropriate
resolution.

The members appoint a named insolvency practitioner as liquidator by
passing an ordinary resolution.

The liquidator is responsible for realising the assets and distributing the

proceeds.

The liquidator presents his report to a final meeting of the members.

The liquidator informs the Registrar of the final meeting and submits a
copy of his report.

The Registrar registers the report and the company is dissolved three
months later.

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