Section 588 - Directions as to property in certain cases. - Companies Act, 1956

Directions as to property in certain cases. 588. (1) If an unregistered company has no power to sue and be sued in a common name, or if for any reason it appears expedient, the [1] [Tribunal] may, by the winding up order or by any subsequent order, direct that all or any part of the property, movable or immovable (including actionable claims), belonging to the company or held by trustees on its behalf, shall vest in the Official Liquidator by his official name; and thereupon the property or the part thereof specified in the order shall vest accordingly. (2) The Official Liquidator may, after giving such indemnity, if any, as the 1[Tribunal] may direct, bring or defend in his official name any suit or legal proceeding relating to that property, or which it is necessary to bring or defend for the purpose of effectually winding up the company and recovering its property. ---------------------------------------------- Notes:- [1] Substituted for Court by the Companies (Second Amendment) Act, 2002, w.e.f. a date yet to be notified.