Section 292: Exercise and control of Company Liquidator’s powers
This section is for outlining the powers and controls of a Company Liquidator in managing a company's assets and distribution among creditors.
The section, clause by clause
What the section says
In plain terms
(1)Subject to the provisions of this Act, the Company Liquidator shall, in the administration of the assets of the company and the distribution thereof among its creditors, have regard to any directions which may be given by the resolution of the creditors or contributories at any general meeting or by the advisory committee.
The Company Liquidator must consider any directions given by the creditors or contributories at a general meeting or by the advisory committee when administering and distributing the company's assets.
(2)Any directions given by the creditors or contributories at any general meeting shall, in case of conflict, be deemed to override any directions given by the advisory committee.
If there is a conflict, directions from a general meeting of creditors or contributories will take priority over directions from the advisory committee.
(3)The Company Liquidator—
The Company Liquidator can call meetings of creditors or contributories whenever they want, and must call a meeting if requested by at least one-tenth in value of the creditors or contributories.
(3)(a)may summon meetings of the creditors or contributories, whenever he thinks fit, for the purpose of ascertaining their wishes; and
(3)(b)shall summon such meetings at such times, as the creditors or contributories, as the case may be, may, by resolution, direct, or whenever requested in writing to do so by not less than one-tenth in value of the creditors or contributories, as the case may be.
(4)Any person aggrieved by any act or decision of the Company Liquidator may apply to the Tribunal, and the Tribunal may confirm, reverse or modify the act or decision complained of and make such further order as it thinks just and proper in the circumstances.
Anyone unhappy with a decision made by the Company Liquidator can appeal to the Tribunal, which can then confirm, reverse, or modify the decision.
The right-hand column is written from the section text, not quoted from it, and it has no legal force. Where the two differ, the left-hand column is the law.
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Reproduced from the official India Code print for reference. Check the current text on India Code before you rely on it, and read the section alongside its Rules. Nothing here is legal advice.