In this meeting, the Committee discussed the matters of oral and written evidence, directors’ fraudulent actions and the commencement of bankruptcy and winding up.

Oral and written evidence

The evidence referred to here is evidence given by consultees to the committee. The committee discussed the ways in which written evidence should be presented to the committee. There was a suggestion that the committee should start highlighting its proposed insolvency procedure for the future.

Directors’ fraudulent acts

The Committee highlights that because fraudulent acts of a Director nearly always benefit the company, there would be no harm and therefore, a liquidator cannot take legal action. The Committee would like to see tat it becomes possible for a liquidator to take legal action on behalf of anyone who had suffered as a result of a Director’s fraudulent actions.

Commencement of winding-up

The Committee made a number of observations regarding the ILRC 30. ILRC 48 was also discussed, but very briefly.

Commencement of bankruptcy

The Committee raised two issues: the jurisdiction issues with regards to the EEC Bankruptcy Convention, and the integration of the grounds of bankruptcy and winding-up petitions. Emphasis was put on the type of acts or events required to lead the Court to order someone’s assets to be distributed.

 

 

Meeting 10 - 17-11-77