230 SECRETARIAL PRACTICE

Subject to
Supervision.

Powers of
Liquidator.

Voluntary.

The jurisdiction of the Court to make an order for the
winding up of a company extends, not only to companies as
defined by s. 380, but also to unregistered companies as de-
fined by s. 337 unless within the exception mentioned in
5s. 338 (1) (a). An order for winding up an unregistered
company can, however, only be made on the occurrence of one
or other of the events mentioned in s. 338 (1) (4). No un-
registered company can be wound up voluntarily or subject
to the supervision of the Court.

Winding up, subject to the supervision of the Court, is
brought about by order of the Court [s. 256], on petition
presented when a voluntary winding up is already in progress,
by one or more of the parties who may petition for a com-
pulsory order (see above). The presentation of a petition for a
winding up under supervision gives the Court the same
jurisdiction over proceedings against the company as the pre-
sentation of a petition for winding up by the Court [s. 257],
and if an order is made s. 173 as to avoidance of dispositions of
property and s. 174 as to avoidance of executions apply as if
an order for winding up by the Court had been made [s. 258].
The date which was the commencement of the voluntary
winding up which it supersedes (i.e. the date of the passing
of the winding up resolution) is not altered, and becomes the
date of the commencement of the winding up under super-
vision. By the supervision order the Court may appoint
liquidators either in substitution for or in addition to those
already appointed by the company [s. 259].

The liquidator’s powers, unless restricted by the Court,
are identical with those possessed by a liquidator in voluntary
winding up, except that he cannot pay any class of creditors
in full or make any compromise within s. 191 (1) (d), (e) or (f)
without the sanction of the Court [s. 260 (1)]. By s. 260 (2)
it is provided that an order for winding up under supervision
is to be deemed a winding up by the Court except for the
provisions of the Act set out in the ninth schedule thereto.
In view, however, of s. 260 (1) the liquidation will proceed
generally as in a voluntary winding up. The company will
altimately be dissolved in the same way as in a voluntary
winding up.

Having regard to the practically unlimited powers of
application to the Court under s. 252 of the Act, there is
seldom any great advantage in obtaining a supervision order,
and such orders are rare.

Voluntary winding up and the position of the liquidators
therein require much more detailed treatment. since the office