settlement with creditors which is then presented to the Court for approval. During the protection period‚ no action may be taken by creditors to enforce their debts or their security against the Company in general terms. No Liquidator or Receiver may be appointed. There may be no attachment or execution of Judgements during this period. There may be no action to realise security or repossess goods other than goods held by way of retention of title. Essentially‚ there is a freeze on most creditor remedies
Premium Bankruptcy Liquidation Secured creditor
CHAPTER 24 Winding-Up (Sections 425 – 560) Contributories Liability as contributories of present and past members (Section 426) Question 1 By an order of the Court M/s ABC Limited was wound up with effect from 15.3.2002. Mr. Gupta‚ who ceased to be a member of the Company from 1.6.2001 received a notice from the liquidator to deposit a sum of ` 15‚000 as his contribution towards the liability on the shares previously held by him. Mr. Gupta seeks your opinion about his liability. Answer
Premium Liquidation Bankruptcy Secured creditor
up on the creditors‚ the company and the employees. Winding up is the process to bring an end the existence of the company. It is also known as liquidation. When a company is liquidated‚ its structure survives the appointment of a liquidator‚ but not the liquidation. Control of assets‚ conducting business‚ and other financial affairs are transferred to the liquidator. The directors cease to have any authority. All bank accounts are frozen‚ any employment can be terminated. For creditors‚ after commencement
Premium Bankruptcy Liquidation Secured creditor
2 and 3‚ and RMMS entered into a Memorandum of Understanding. In the recitals‚ it was mentioned that the Forbes Company is the major share holder and secured creditor of Swadeshi Mills Company Ltd. and Grand View Estates Private Limited was an unsecured creditor of the Company. These two Companies referred themselves as the Promoter group and as part of the Shapoorji Pallonji Group. It was mentioned in the Memorandum that the RMMS was representing majority
Premium Liquidation Liquidation Secured creditor
namely secured debenture and unsecured debenture. An unsecured debenture simply means that there is no security being used. It is similar to IOU as it is merely telling that the borrower (company) is borrowing from the lender but it did not tell how the borrower is going to repay. In this case‚ if the borrower has many creditors and those creditors had charge with the borrower‚ the lender who with only a debenture may be at a disadvantage as the borrower may first repay the other creditors who have
Premium Debt Bond Asset
TABLE OF CONTENT Title Page Scenario of the Case of ABC Bhd 1 Acknowledgement 2 Findings Misstated Amount Due in Statutory Demand 3-5 Number of Members is Reduce Lower than Two 6-8 Voluntary Winding Up 9-10 Compulsory Winding Up
Premium Debt Money Debtor
Working capital is the excess of current assets over current liabilities‚ it measures the company ’s ability to repay current liabilities using only current assets. Having sufficient working capital provides some sort of guarantee to short-term creditors that they will be paid by the company. Even though Boston Beer Company ’s working capital is at a decent amount and has increased in the past two years‚ large amounts are not free for the company. Working capital must be financed with long-term
Premium Balance sheet Inventory Asset
only thing she would gain would be something she already had in the first place‚ her job. Second case: Mr. Creditor loaned Ms. Debtor a large amount of money‚ to be paid off in a year. Ms. Debtor is sexually attracted to Mr. Creditor‚ but he doesn’t share her interest. When the end of the year comes‚ Ms. Debtor says she will only pay if he consents to sex. This is a threat because if Mr. Creditor doesn’t consent to sex‚ then he will not get the payment owed to him‚ so he could only get what was rightfully
Premium Debt Money Human sexual behavior
indicates that this business is less able to cover its average current liabilities or its short term debts. We can know from the table this is an unfavourable result. Efficiency 2011 2012 Debtors Turnover Ratio (DTO) 98days 95days Creditors Turnover Ratio (CTO) 87days Stock Turnover Ratio (STO) 60days 67days STO In 2011‚ it took average 60 days for the business to sell their stock to customers‚but in 2012 it was 67 days. The STO increased slightly from 2011to 2012. This represents
Premium Debt Asset Money
financing: Short Term financing is that from of financing which embraces borrowing or lending of funds for a short period of time. It refers to the finance obtained on short term basis‚ usually one year or less in duration. Short term finance is secured for financing the current assets‚ for example‚ inventories. Short term finance is also known as working capital which is the excess of current assets over current liabilities. Current liabilities become due within one year and indicate the amount
Premium Finance Economics Debt