Statement of Affairs

Whenever a company is dissolved by the Court, the directors and any other person who in the opinion of the Official Receiver withholds useful information in relation to the company, are required in terms of Art 226 of the Companies Act, to draw up a statement of affairs of the dissolved company. The information to be included in the aforementioned statement is comprehensive. In order to facilitate and guide directors, other company officials, or any other person as the Official Receiver deems fit, the information required has been reduced to a form which may be obtained from the office of the official receiver. The information to be submitted to the Official Receiver shall be verified by affidavit.

Article 226 of the Companies Act also provides for the imposition of a penalty, in case of non-compliance with the aforementioned obligations, and to a further penalty for every day after the lapse of the twenty-one days from the date of dissolution during which such default continues. Following the receipt of such statement, the official receiver shall present a preliminary report to the court. The 21-day period during which the said statement should be submitted may be extended by the Official Receiver, if he deems it necessary (Art.226(3)). The Official Receiver may also release a person from an obligation in terms of Article 226.

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