C A Mather Incorporated The trustee or liquidator as the case may be, is a person appointed by the Master of the High Court. By law his/her first priority is to look after creditors, in order to ensure that they are treated fairly and that they receive as much of the money due to them by the insolvent as possible. In order for him/her to achieve the above he/she is given wide powers by both the Insolvency act and the Companies act. His/her duty is to take control of the insolvent's assets, convert these to cash, and then to pay creditors in proportion to their claims. He/she is obliged to report to creditors on a regular basis and to provide them with a copy of the liquidation and distribution account. The insolvent is also entitled to information and to a copy of the above account. Insolvents and previous representatives of legal persona in liquidation ( for convenience - " insolvent" ) appear to be under the impression that they are persona non grata, and as such, cannot question the trustee/liquidator. This is a misconception. They have every right to question and to receive satisfactory answers both verbally and in writing. Once assets have been realised, if creditors are paid in full, any surplus must be paid to the insolvent. There is no need to be intimidated by the trustee. He/she is answerable to the Master. Creditors and / or insolvents are at liberty to lodge their complaints or objections with the Master who may investigate. The High Court itself remains the ultimate authority. |