We’re coming in! Don’t shoot!
The credit crunch is causing an increase in company liquidations. The Office of Director of Corporate Enforcement has noted, in its latest Press release, the occurrence of 40 company insolvencies in April 2008 compared with 30 per month in late 2007.
However, the liquidator owes the creditors a duty to, generally, find and get in the assets of the company. The liquidator also is obliged to notify the creditors of the company of the fact of liquidation and to seek out the creditors. He cannot just wait for them to contact him. The duty of the liquidator is a statutory duty. The records of the company will be the source of information regarding claims against the company.