Section 573 CAMA 2020

Section 573 Companies and Allied Matters Act is about Provisions as to application for winding-up. It is under Chapter 21 (Winding-up by the court jurisdiction) of the Act.

(1) An application to the court for the winding-up of a company shall be by petition presented subject to the provisions of this section, by —

(a) the company or a director ;

(b) a creditor, including a contingent or prospective creditor of the company ;

(c) the official receiver ;

(d) a contributory ;

(e) a trustee in bankruptcy to, or a personal representative of, a creditor or contributory ;

(f ) the Commission under section 366 of this Act ;

(g) a receiver, if authorised by the instrument under which he wasappointed ; or

(h) by all or any of those parties, together or separately.

(2) Notwithstanding anything in subsection (1)—

(a) a contributory is not entitled to present a petition for winding-up a company unless the—

(i) number of members is reduced below two in the case of companies with more than one shareholder, or

(ii) shares in respect of which he is contributory or some of them,were originally allotted to him or have been held by him, and registered in his name, for at least six months during the 18 months before thecommencement of the winding-up, or have devolved on him through thedeath of a former holder ;

(b) a winding-up petition shall not, if the ground of the petition is default in delivering the statutory report to the Commission or in holding the statutory meeting, be presented by any person except a shareholder, or before the expiration of 14 days after the last day on which the meeting should have been held ; and

(c) the Court shall not hear a winding-up petition presented by a contingent or prospective creditor until sufficient security for costs has been given,and a prima facie case for winding-up has been established to its satisfaction.

(3) Where a company is being wound up voluntarily or subject to supervision, a winding-up petition may be presented by the official receiver attached to the Court, as well as by any other person authorised under the other provisions of this section, but the Court shall not make a winding-up order on any such petition unless it is satisfied that the voluntary winding-up orwinding-up subject to supervision cannot be continued with due regard to the interests of the creditors or contributories.

(4) A contributory is entitled to present a winding-up petition notwithstanding that there may not be assets available on the winding-up for distribution to contributories.