Voluntary Liquidation questions

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Say there is a company which is a group of companies all owned by same directors and all run out of same premises and one division/company A goes into vol liq. From my understanding a declaration of solvency must be sworn stating that the company will be able to pay its debts in full. A goes into VL and a creditor is not paid. Subsequently another division B (same owners and directors and premises) takes on the business of the division A.
To the outside world nothing has changed, the same business is being run from the same premises with the same owner and the same employees (they had all been let go but some re hired by division .

What is the legal situation here? Section 256(8) says that the directors may be held personally liable if the company is found not to be solvent and if the company's debts are not paid within 12 months there is a presumtion that the director didnt have reasonable grounds for the declaration.
Am i missing anything here? It would seem to me that the creditor can make an application to the court under the above section.
Is it possible to access the declaration/independant report that is sent to the Registrar of Companies?

I understand that the creditors can apply to the court under s 256(5) to convert to a creditors winding up within 28 days of advertisements but what is the redress if any for a single creditor much later on when he realises he isnt going to be paid?

Our man in Havana

You are going to need to get the ODCE involved if you believe they are trading recklessly. You should have access to the liquidators report. You really need specialist legal advice.

What they are doing is morally wrong but maybe perfectly legal.

dermot_sheehan

Creditor can apply to High Court under section 256(8) as amended by s. 128 CA 1990 that directors be made personally liable for debts not paid
http://www.irishstatutebook.ie/1990/en/act/pub/0033/sec0128.html