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CS Professional · Insolvency and Bankruptcy - Law and Practice · Liquidation of Corporate Person

Orchid Chemicals Ltd's voluntary liquidation is complete: its affairs are wound up and assets fully liquidated. The liquidator, CS Neha Iyer, now wishes to bring the company to an end. What does Section 59 provide?

The liquidator applies to the Adjudicating Authority for dissolution once affairs are wound up and assets liquidated. The company is dissolved from the date of the Authority's order, and a copy of the order must be sent to the registering authority within fourteen days.

  1. AThe liquidator applies to the Adjudicating Authority for dissolution; on the order, the company is dissolved from the date of the order, and a copy is forwarded to the registering authority within fourteen daysCorrect
  2. BThe liquidator files a notice with the Registrar, and the company stands dissolved after thirty days
  3. CThe members pass a further special resolution, and the company stands dissolved on that date
  4. DThe Board dissolves the company on the liquidator's report, and the Registrar is informed within seven days

Explanation

Section 59(7) requires the liquidator to apply to the Adjudicating Authority for dissolution. Under 59(8) the company is dissolved from the date of the order, and 59(9) requires a copy to go to the registering authority within fourteen days. A Registrar notice, member resolution or Board action does not dissolve it.

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