Insolvency Law South Africa

Insolvency Law South Africa

Insolvency Law South Africa

Steps in the Liquidation Process

 

Provisional Sequestration/Liquidation Order granted

 

Master of the High Court (“Master”) appoints Provisional liquidator/trustee

 

Provisional appointee mails reports and send claim forms to all known creditors

 

Final sequestration/liquidation order granted

 

Master convenes 1st Meeting of creditors

 

1st meeting - for purpose of proving claims/ nominating final appointee

 

Master issues final certificate of appointment

 

2nd Meeting of creditors convened by final appointee upon receipt of final certificate of appointment

 

Advertisement appears in Newspapers + 2nd Meeting report is sent to all known creditors

 

2nd meeting takes place to adopt report and resolutions and prove claims

 

Assets (if not sold pursuant to extention of powers) are sold Special Meeting of creditors for prove of late claims (if required)

 

Lodge First Liquidation Account with Master

 

Master inspects account.

 

Appointee advertise that the account lies open for inspection

 

Appointee place advertisements in government gazette and newspaper & send circular regarding inspection period to all

 

Account lies open for inspection at Master & Magistrates office

 

Master confirms account

 

Payments are made to creditors in terms of confirmed account

 

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