Reference no: EM132081321

Advise Lend it Easy Bank on the following:

Lend it Easy Bank gave a loan of $100,000 to One Pty Ltd. Recently Lend it Easy discovered that One Pty Ltd could not pay the repayment of the loan amount nor the interest which were due and the bank is considering the below:

1. Claiming the amount from the shareholders of One Pty Ltd;
2. Claiming the amount from the directors; and
3. The accountant of One Pty Ltd advised it stating that the company need not pay the Bank back as its liability were limited to the amount of its paid up capital which was $20,000. Is this advise correct?
4. John who is a shareholder of One Pty Ltd were recently asked by the company to pay the balance of $5,000 of the amount that remains unpaid for his shares worth $10,000. John says that he need not pay the amount, is this correct?