1984 Ed.]
Companies
[CAP. 32
235
(IA) Where the relevant date is on or after 1 June 1970 but before 1 April 1977, the sum of $6,000 shall be deemed to be substituted in each case for the sums of $3,000 referred to in paragraphs (b) and (c) respectively of subsection (1). (Added, 41 of 1970, s. 2. Amended, 4 of 1977, s. 2)
(IB) Where the relevant date is on or after the 1 April 1977, the sum of $8,000 shall be deemed to be substituted in each case for the sums of $3,000 referred to in paragraphs (b) and (c) respectively, and for the sum of $6,000 referred to in paragraph (ca), of subsection (1). (Added, 4 of 1977, s. 2)
(2) Where any payment on account of wages or salary, or Severance payment or wages in lieu of notice payable under the Employment Ordinance, or accrued holiday remuneration, has been made to any clerk, servant, workman or labourer in the employment of a company out of money advanced by some person for that purpose, that person shall in a winding up have a right of priority in respect of the money so advanced and paid up to the amount by which the sum in respect of which that clerk, servant, workman or labourer would have been entitled to priority in the winding up has been diminished by reason of the payment having been made. (Amended, 6 of 1984, s. 18)
(3) The debts specified in subsection (1)(b), (c), (ca), (cb), (cc) and (cd) (Amended, 4 of 1977, s. 2 and 6 of 1984, s. 18)
(a) shall have priority over the debts specified in subsection (1)(d);
(b) shall rank equally among themselves; and
(c) shall be paid in full unless the assets are insufficient to meet them, in which case they shall abate in equal proportions among themselves.
(Replaced, 41 of 1970, s. 2. Amended, 55 of 1974, s. 2)
(3A) (Deleted, 6 of 1984, s. 18)
(3B) The debts specified in subsection (1) shall, so far as the assets of the company available for payment of general creditors are insufficient to meet those debts, have priority over the claims of holders of debentures under any floating charge created by the company, and shall be paid accordingly out of any property comprised in or subject to the charge. (Added, 41 of 1970, s. 2)
(4) Subject to the retention of such sums as may be necessary for the costs and expenses of the winding up, the foregoing debts shall be discharged forthwith so far as the assets are sufficient to meet them.
(5) In the event of a landlord or other person distraining or having distrained on any goods or effects of the company within 3 months next before the date of a winding-up order, the debts to which priority is given by this section shall be a first charge on the goods or effects so distrained on, or the proceeds of the sale thereof. (Amended, 41 of 1970, s. 2)
(Cap. 47
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