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CS Professional · Insolvency and Bankruptcy - Law and Practice · Voluntary Liquidation of Companies

Liquidator Rohit Sharma was appointed for Deccan Polymers Ltd, with liquidation commencement date 1 September. He issued the public announcement within five days of appointment. Which statement about the announcement is correct under the Voluntary Liquidation Process Regulations?

The last date for submitting claims is thirty days from the liquidation commencement date, so 1 October, and claims are assessed as on the commencement date. It is not counted from the announcement date, and publication must go beyond the Board's website.

  1. AThe last date for claims is thirty days from the liquidation commencement date, i.e. 1 OctoberCorrect
  2. BThe last date for claims is thirty days from the date of the announcement
  3. CThe announcement calls for claims as on the date of the announcement
  4. DThe announcement need only be published on the Board's website

Explanation

Regulation 14 requires the announcement to call for claims as on the liquidation commencement date and fix the last date as thirty days from that commencement date, which is 1 October. Counting from the announcement date or using the announcement date as the claims cut-off is wrong. Publication must also be in one English and one regional newspaper, on the company's website, if any, and on the Board's website.

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