1. Members' voluntary
winding up can be resorted to by solvent companies and thus requires the filing of a 'declaration of solvency' by
the directors of the company with the Registrar; Creditors' winding up, on the
other hand, is resorted to by insolvent companies.
2. In members' voluntary
winding up there is no need to have creditor's meeting.But in the case of
creditors' voluntary winding up, a meeting of the creditors must be called
immediately after the meeting of the members.
3. Liquidator,
in the case of members' winding up is appointed by the members. But in the case
of creditors' voluntary winding up, if the members and creditors nominate two
different persons as liquidators, creditors' nominee shall become the
liquidator.
4. In the case
of creditor's voluntary winding up, if the creditors so wish a 'Committee of
Inspection' may be appointed, In the case of members' voluntary winding up,
there is no provision for any such committee.
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