Section 653 CAMA 2020

Section 653 Companies and Allied Matters Act is about Effect of supervision order. It is under Chapter 23 (Winding-up subject to supervision of court) of the Act.

(1) Where an order is made for a winding-up subject to supervision,the liquidator may, subject to any restrictions imposed by the Court, exercise all his powers, without the sanction or intervention of the Court, in the same manner as if the company were being wound up voluntarily :

Provided that the powers specified in section 588 (1) (d), (e) and (f ) of this Act shall not be exercised by the liquidator except with the sanction of the Court or, in a case where before the order for the winding-up was a creditors’voluntary winding-up, with the sanction of the Court or the committee of inspection, or (if there is no such committee) a meeting of the creditors.

(2) A winding-up subject to the supervision of the Court shall not amount to a winding-up by the Court for the purpose of the provisions of this Act as specified in the Twelveth Schedule to this Act (dealing with provisions which do not apply in the case of winding-up subject to the supervision of the Court)but, subject to this, an order for a winding-up subject to supervision shall for all purposes be an order for winding-up by the Court :

Provided that where the order for winding-up subject to supervision of the Court was made in relation to a creditors’ voluntary winding-up in which a Committee of Inspection had been appointed, the order shall be deemed to bean order for winding-up by the Court for the purposes of section 597 of this Act, (except subsection (1) of that section) unless the operation of that section is excluded in a voluntary winding-up by general rules made under this Act.