Liquidation - control of funds

[poly1906]

When a company goes into members voluntary liquidation with all debts paid and surplus funds to distribute to shareholders, is it necessary for the directors to relinquish control of said funds to the appointed liquidator? Or can they just make internet banking payments to shareholders themselves at the instruction of the liquidator?

This question came up in general recently but didn't seem to get an answer. I am not sure I am comfortable with going down this route if I have to give up control of the funds. I know the liquidators have to be licensed but tales like that of upton accountants make me hesitant to trust any "professional" with my company's money.

[Clare@InTouch]

I believe that you give over control of the funds, but it's all bonded (insured).

[Nixon Williams]

When a company goes into members voluntary liquidation with all debts paid and surplus funds to distribute to shareholders, is it necessary for the directors to relinquish control of said funds to the appointed liquidator?

Yes, you the liquidator effectively takes full control of the company and so this includes all assets.

I am not aware of any cases of an insolvency practitioner running off with someone's money, although there may be cases.

With a MVL, it is a quick process in any case and in most cases should be concluded within 2 weeks or so.