WINDING UP 
Under the Act of 1908, the liquidator had power with the 
sanction of the Court to prosecute any past or present director 
or officer for any suspected offence in relation to the company; 
but while the costs of any such prosecution could be made pay- 
able out of the assets of the company, there was no power to 
direct the discharge thereof at the public expense. Accord- 
ingly the liquidator rarely applied to the Court for leave to 
commence proceedings. Under the new Act [s. 277 (2)], it is 
the duty of the liquidator in a voluntary winding up if he 
considers that any past or present director, manager or officer, 
or any member of the company, has been guilty of any offence 
in relation to the company for which he is criminally liable to 
report the matter at once to the Director of Public Prosecu- 
tions and give him all information in his power relating to the 
matter. The Director of Public Prosecutions may refer the 
matter to the Board of Trade for further enquiry; but he is 
under no obligation to do so. Whether he does so or not, he 
may, if he considers (a) that the case is one in which a prose- 
cution ought to be instituted, and (b) that it is desirable in the 
public interest that the proceedings in the prosecution should 
be conducted by him, institute proceedings himself, and the 
liquidator and every officer and agent of the company past 
and present other than the defendant must give him all 
assistance within their power. If the Director of Public 
Prosecutions commences the proceedings, the costs of the 
proceedings will of course be defrayed at the public expense. 
[t will be noted, however, that the Director may only prosecute 
if the two above-mentioned conditions are fulfilled. If he is 
not satisfied that the case is one in which he ought to com- 
mence proceedings it is his duty to inform the liquidator 
accordingly, and thereupon the liquidator may himself com- 
mence the proceedings, but only with the previous sanction 
of the Court. If the proceedings are commenced by the 
liquidator, with the sanction of the Court, the costs and 
expenses of the proceedings will not of course be borne by him 
personally ; the Board of Trade is empowered by sub-s. (8) to 
defray such costs and expenses; if the Board does not exercise 
this power, the costs will, subject to any direction given by the 
Court and to any mortgages or charges on the assets of the 
Company and to any debts entitled to preferential payment 
under s. 264, be payable out of the assets of the company in 
priority to all other liabilities. 
It may here be noted that the category of criminal offences 
in relation to a company has been greatly extended by the new 
Act [see ss. 271 to 275]. Itis not considered necessary to set 
out these sections in detail, but it may be mentioned that 
Report by 
Liquidator of 
Suspected 
Criminal 
Offences.