Unfair Preference in winding up

Unfair Preference in winding up

A company does something or suffers anything which lead to an effect of putting a creditor or guarantor into a better position in the event of insolvent liquidation, such action is regarded as an unfair preference. Relevant time for such unfair preference, is a time in the period of 6 …

Transaction at an undervalue in winding up

Transaction at an undervalue in winding up

Section 265E of Companies (Winding Up and Miscellaneous Provisions) Ordinance states that A company enters into a transaction with a person at an undervalue if— (a) the company makes a gift to that person (b) the company enters into a transaction with that person with no consideration (c) the company …