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It (Winding up of a company) is the process whereby its life is ended and its Assetsaremanaged for the advantage of its creditors&members. A Manager, called a receiver is selected and he takes controller of the company, gathers its assets, pays its debts and finally apportions any surplus among the members in accordance with their rights. Under the procedure, the life of the company is ended and its possessions is ended and its property is administered for the of the creditors and members. A liquidtor is selected to realise the assets and the goods of the company. After payment of the debts, is any excess of assets is let out they will be disseminated among the members according to their rights.
The winding up of a company can also be done freely by the members of the Company, if:
Issue notice in accord with the necessities of section 173(3) of the Companies Act, 2013, for assembling a meeting of the Board of Managers. Main plan for this Board meeting would be:
The Originating Summons for the winding up of a company by the Court in either Form 2 or Form 3 of the Companies Rules must be filed together with a supporting affidavit (in Form 5). When filing the CreatingInstruction, the accuser may suggest a person to be selected as the official receiver if a winding up order is made by the Court. Before the hearing of the MakingInstruction, the accuser, or his lawyer, must obtain and file the written consent of the nominated official receiver. If no official receiver is nominated, the Official Receiver is the default official receiver.An advertisement of the InitiatingCommand is required to be placed in English and a Chinese local daily newspaper as well as in the Government Publication.If any person intends to appear at the hearing, a Notice of Intention to Appear in Form8 must be given to the complainant or, or his attorney.
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