The fundamental duties of a liquidator under Section 99 of the Insolvency Act are to take in a reasonable and expeditious manner, all steps necessary to;

  1. Collect;
  2. Realize as advantageously as reasonably possible; and
  3. Distribute

The assets or the proceeds of the assets of the company.

The liquidator,

  • Gives notice of his appointment in the gazette and newspaper of wide circulation in Uganda. Form 12 Insolvency Regulations
  • Files a statement of affairs of the company. Form 20 Insolvency Regulations.
  • Files reports in relation to the liquidation process and gives public notice of availability of the reports in a newspaper of wide circulation and delivers copies to the Official Receiver. See reports.
  • Sells and distributes the assets or the proceeds of the assets of the company to the creditors.
  • Registers his or her interest in all land and other assets belonging to the company.
  • Keeps company money separate from other money held by or under the control of the liquidator.
  • Keeps full accounts and other records of all transactions relating to the liquidation.
  • Retains the accounts and records of the liquidation and of the company for not less than six years after the liquidation ends.
  • Permits those accounts and records and the accounts and records of the company, to be inspected.
  • Holds meetings with the members of the company.
  • Settles legal disputes or outstanding contracts.
  • Gets the company struck off from the register.

REPORTS AND NOTICES BY THE LIQUIDATOR.

What the reports entail.

Liquidator’s preliminary report.

  • the state of the company’s affairs,
  • proposals for conducting the liquidation
  • the estimated date of its completion
  • the right of any creditor or shareholder to require the liquidator to call a creditors’ meeting

Liquidator’s interim reports

  • The conduct of the liquidation during the preceding six months period.
  • The liquidator’s further proposals for the completion of the liquidation.

 Liquidator’s final report 

  • The liquidator shall prepare an account of the liquidation showing how the liquidation was conducted and how the property of the company was disposed of.
  • Final accounts and statement.

The grounds on which a creditor or shareholder may object to the removal of the company from the register under the Companies Act.