SECURITY BY LIQUIDATOR IN A WINDING UP BY THE COURT
Provisions as to security
47. Where a liquidator other than the Official Receiver has been appointed, the following provisions as to security shall have effect:
(a)
the security shall be given to such officers or persons, and in such manner as the Official Receiver may from time to time direct;
(b)
it shall not be necessary that security shall be given in each separate winding up; but security may be given either specially in a particular winding up, or generally, to be available for any winding up in which the person giving security may be appointed, as liquidator;
(c)
the Official Receiver shall fix the amount and nature of such security, and may from time to time, as he thinks fit, either increase or diminish the amount of special or general security which any person has given;
(d)
the certificate of the Official Receiver as in Form 21 set out in the First Schedule that a liquidator has given security to his satisfaction shall be filed with the Registrar; and
(e)
the cost of furnishing the required security by a liquidator, including any premiums which he may pay to a guarantee society, shall be borne by him personally, and shall not be charged against the assets of the company as an expense incurred in the winding up.
Failure to give or keep up security
48.—(1) If a liquidator fails to give the required security within the time stated for that purpose in the order appointing him, or any extension thereof, the Official Receiver shall report such failure to the Court, which may thereupon rescind the order appointing the liquidator.
(2) If a liquidator fails to keep up his security, the Official Receiver shall report such failure to the Court, which may thereupon remove the liquidator, and make such order as to costs as the Court shall think fit.