1901_COMPANIES_ORDINANCE__1865 — Page 20

A.D. 1865.]

COMPANIES.

[No. 1.

67

that with respect to every creditor of the company who, under the pro- 30 & 31 Vict. visions of this Ordinance, is entitled to object to the reduction, either c. 131 s. 11. his consent to the reduction has been obtained or his debt or claim has been discharged, or has determined, or has been secured as hereinafter provided, may make an order confirming the reduction on such terms and subject to such conditions as it thinks fit.

62.—(1.) Where a company proposes to reduce its capital, every creditor of the company who, at the date fixed by the Court, is entitled to any debt or claim which, if that date were the commencement of the winding-up of the company, would be admissible in proof against the company shall be entitled to object to the proposed reduction, and to be entered in the list of creditors who are so entitled to object: Provided that where such reduction of capital does not involve either the diminu- tion of any liability in respect of unpaid capital or the payment to any shareholder of any paid up capital, the creditors of the company shall not, unless the Court otherwise directs, be entitled to object or required to consent to the reduction.

(2.) The Court shall settle a list of such creditors, and for that pur- pose shall ascertain as far as possible, without requiring an application from any creditor, the names of such creditors and the nature and amount of their debts or claims, and may publish notices fixing a certain day or days within which creditors of the company who are not entered on the list are to claim to be so entered or to be excluded from the right of objecting to the proposed reduction.

Objections by creditors, and list of object- ing creditors. 10 & 41 Fict.

settlement of

Ib. s. 13;

c. 26 s. 4

in part.

Power to dispense with creditor, on

consent of

certain conditions.

63. Where a creditor whose name is entered on the list of creditors, and whose debt or claim is not discharged or determined, does not con- sent to the proposed reduction, the Court may, if it thinks fit, dispense with such consent on the company securing the payment of the debt or claim of such creditor by setting apart and appropriating in such man- 30 & 31 Vict. ner as the Court may direct a sum of such amount as is hereinafter mentioned; that is to say,-

(1.) if the full amount of the debt or claim of the creditor is admitted. by the company, or, though not admitted, is such as the company is willing to set apart and appropriate, then the full amount of the debt or claim shall be set apart and appropriated; and

if the full amount of the debt or claim of the creditor is not admitted by the company, and is not such as the company is will- ing to set apart and appropriate, or if the amount is contingent or not ascertained, then the Court may, if it thinks fit, inquire into and adjudicate on the validity of such debt or claim, and the amount for which the company may be liable in respect thereof, in the same manner as if the company were being wound up by

c. 131 s. 14.

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