THE CORPORATIONS LAW

CHAPTER 5 - EXTERNAL ADMINISTRATION

PART 5.6 - WINDING UP GENERALLY

Division 4 - General

SECTION 543   INVESTMENT OF SURPLUS FUNDS ON GENERAL ACCOUNT  

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543(1)  [Authorised investments]  

Whenever the cash balance standing to the credit of a company that is in the course of being wound up is in excess of the amount that, in the opinion of the committee of inspection, or, if there is no committee of inspection, of the liquidator, is required for the time being to answer demands in respect of the property of the company, the liquidator, if so directed in writing by the committee of inspection, or, if there is not committee of inspection, the liquidator himself or herself, may, unless the Court on application by any creditor thinks fit to order otherwise and so orders, invest the sum or any part of the sum:

(a)  in any manner in which trustees are for the time being authorised by law to invest trust funds;

(b)  on deposit with an eligible money market dealer; or

(c)  on deposit at interest with any bank;

and any interest received in respect of that money so invested forms part of the property of the company.

543(2)  [Sale or realisation of securities]  

Whenever any part of the money so invested is, in the opinion of the committee of inspection, or, if there is no committee of inspection, of the liquidator, required to answer any demands in respect of the property of the company, the committee of inspection may direct, or, if there is no committee of inspection, the liquidator may arrange for, the sale or realisation of such part of the securities as is necessary.

 

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