Liquidation Proceedings and Director’s Potential Bankruptcy Liability
Company A, Limited, had three directors and the shareholders agreed to dissolve the company, appointing Mr. B as liquidator. Mr. B considered that the assets and share values of the company had been fully utilized and that the company’s assets were insufficient to pay its debts. However, Mr. B proceeded to continue managing and liquidating the company’s affairs and debts. Upon completion of the liquidation, a debt of 40,000 baht remained. Mr. B therefore did not file a petition to declare Company A, Limited, bankrupt. The court received the petition and issued a definitive protective order against Company A, Limited, as follows: to determine whether Mr. B was declared bankrupt at the correct time; (1) Mr. B filed a petition to declare Company A, Limited, bankrupt; (2) Was the court’s order to protect the assets of Company A, Limited, proper; (3) Can creditors or receivers take action to compel the three directors of Company A, Limited, to declare the company bankrupt? The liquidator filed a petition for Company A, Limited, to provide a response (1) Mr. B was not a bankrupt at an incorrect time because when Mr. B saw that the assets of Company A, Limited, fully utilized were not sufficient to pay debts, Mr. B immediately filed a petition to declare Company A, Limited, bankrupt, in accordance with Section ; (2) The court’s order was proper because Mr. B, the liquidator, requested the declaration of bankruptcy, as stipulated in the Bankruptcy Act, did not specify the amount of debt, even if it did not reach five hundred thousand baht, it was considered to have excessive debt, the court must issue a definitive protective order immediately under Section 88; (3) Creditors could not sue the directors of Company A, Limited, to declare the company bankrupt, as this did not comply with the criteria stipulated in the Bankruptcy Act, Section 9(2), because the debt did not exceed five hundred thousand baht, it could be declared bankrupt without a new lawsuit under Section 89. This was not applicable because it was not a general partnership registered or a limited partnership.
The fourteen-year-old girl, “Su-tai,” residing with her mother in Suphanburi Province.