Re Favon Investments Company Ltd ((in Liquidation))
| Jurisdiction | Ireland |
| Judgment Date | 01 January 1993 |
| Date | 01 January 1993 |
| Docket Number | [1992 No. 397 Sp. Ct. 6] |
| Court | High Court |
High Court
Company - Winding up - Members' and creditors' voluntary winding up - Statutory declaration of solvency - Report of independent person - Failure to comply with statutory requirements - Whether court has jurisdiction to remedy procedural defects - Companies Act, 1963 (No. 33), s. 256 - Companies Act, 1990 (No. 33), s. 128.
Special Summons.
On the 25th February, 1992, a special resolution of the company was passed to wind up the company. By special summons dated the 27th May, 1992, the liquidator sought liberty under s. 280 of the Companies Act, 1963, to file a statutory declaration of solvency with a report attached pursuant to s. 256 of the Act of 1963, and an order directing that the winding up pursuant to the special resolution proceed as a members' voluntary winding up.
Section 256 of the Companies Act, 1963, as inserted by s. 128 of the Companies Act, 1990, provies, inter alia, as follows:—
"(1) Where it is proposed to wind up a company voluntarily, the directors of the company or, in the case of a company having more than two directors, the majority of the directors may, at a meeting of the directors, make a statutory declaration to the effect that they have made a full inquiry into the affairs of the company, and that having done so, they have formed the opinion that the company will be able to pay its debts in full within such period not exceeding 12 months from the commencement of the winding up as may be specified in the declaration.
(2) A declaration made as aforesaid shall have no effect for the purposes of this Act unless—
(a) it is made within the 28 days immediately preceding the date of the passing of the resolution for winding up the company and delivered to the registrar of companies not later than the date of delivery to the registrar, in accordance with the provisions of section 143, of a copy of the resolution for winding up the company;
(b) it embodies a statement of the company's assets and liabilities as at the latest practicable date before the making of the declaration and in any event at a date not more than three months before the making of the declaration;
(c) a report made by an independent person in accordance with the provisions of this section is attached thereto;
(d) it embodies a statement by the...
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PPF Capital Source Ltd
...by ss. 256(1) and (2) of the 1963 Act. The jurisdiction was exercised on similar grounds by Costello J. in Re Favon Investments Limited [1993] 1 IR 87. 23 The section reflects in its language the consequence of a successful application to show cause against an adjudication in bankruptcy (Ba......
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Re Birchwell Developments Ltd
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