Section 141: Insolvency of company(cid:3)

141. Insolvency of company(cid:3) (1) (a) Where a liquidator is of opinion that the company will not be able to pay or provide for the payment of its debts in full within the period stated in the declaration of solvency made under section 139, he shall forthwith— (i) summon a meeting of the creditors; and(cid:3) (ii) lay before the meeting a statement of the assets and liabilities of the company.(cid:3) (b) The notice summoning the meeting shall draw the attention of the creditors to the right conferred upon them by subsection (2).(cid:3) (2) The creditors may at the meeting appoint some other person to be liquidator for the purpose of winding up the affairs and distributing the assets of the company instead of the liquidator appointed by the company.(cid:3) (3) Where the creditors appoint some other person under subsection (2), the winding up shall proceed as if the winding up were a creditors’ winding up. (4) The liquidator or, if some other person has been appointed by the creditors to be the liquidator, the person so appointed shall, within 7 days, lodge a notice of the holding of the meeting with the Director and deliver a copy to the Official Receiver.(cid:3) I14 – 85 [Issue 9] Insolvency Act (5) (a) Where, at a meeting summoned under subsection (1), the creditors do(cid:3)not appoint another liquidator, the winding(cid:3)up shall proceed as if the winding up were(cid:3)a creditors’ voluntary winding up.(cid:3) (b) The liquidator shall not be required to summon an annual meeting of creditors at the end of the first year from the commencement of the winding up if the meeting was held less than 3 months before the end of that year.(cid:3)