Commonwealth Numbered Acts

COMPANIES ACT 1981 No. 89 of 1981 - SECT 349

349. (1) The official manager of a company may sell or otherwise dispose of
any property of the company in the ordinary course of the business of the
company.

(2) The official manager of a company may sell or otherwise dispose of any
property of the company otherwise than in the ordinary course of the business
of the company if the aggregate of the value of that property and the price or
prices received for any other property previously sold or disposed of
otherwise than in the ordinary course of the business of the company during
the period of official management does not exceed $5,000.

(3) The official manager of a company may, with the consent of the committee
of management, sell or otherwise dispose of any property of the company
otherwise than in the ordinary course of the business of the company if the
aggregate of the value of that property and the price or prices received for
any other property previously sold or disposed of otherwise than in the
ordinary course of the business of the company during the period of official
management does not exceed $20,000.

(4) The official manager of a company may-

   (a)  with the leave of the Court; or

   (b)  with the consent of the creditors given by a special resolution passed
        at a meeting of the creditors of which special notice has been given,
        being a notice that set out the intention to propose, as a
        special resolution, a resolution for the sale or disposal, or the
        mortgage or charge, of that property, sell or otherwise dispose of, or
        mortgage or charge, any property of the company.

(5) The moneys of the company that become available to the official manager of
the company during the period of the official management shall be applied by
him in the following order:

   (a)  first, in the payment of the costs of the official management,
        including the remuneration of the official manager, the deputy
        official manager (if any) and the auditor of the company (if any)
        appointed in accordance with the provisions of Division 3 of Part VI;

   (b)  second, in discharge of the liabilities of the company incurred in the
        course of the official management; and

   (c)  third, in discharge of any other liabilities of the company.

(6) Subject to sub-section (5), the liabilities of the company referred to in
paragraph (5) (c) shall be discharged as if those liabilities were liabilities
of a company being wound up, and the provisions of Part XII apply, as far as
possible, to, and in relation to, the discharge of those liabilities.