Companies Act, 1973 (Act No. 61 of 1973)Chapter XIV: Winding-up of CompaniesDuties of Liquidators397. Recovery of contributions and nature of liability |
| 1) |
| a) | A liquidator shall proceed to recover from the contributories a proportion of or the full amount of their liability as may be required from time to time, taking into consideration the probability that some of the contributories may partly or wholly fail to pay the amount demanded from them. |
| b) | In the event of the death of any contributory or the insolvency of his estate, the liquidator may recover the contribution from the estate concerned. |
| 2) |
| a) | The liability for the payment of any amount by a contributory to the company shall be a debt due by him to the company as from the date on which the amount was demanded from him by the liquidator. |
| b) | A contributory shall not be entitled to set off against his liability any amount due to him by the company in respect of dividends, profits or directors' remuneration. |