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Liquidators and Receivers:
The distinction between liquidators and receivers must be kept clear:
(a) a receiver is a representative of secured creditors appointed by them (or by the court on their behalf) to enforce their security, ie. to take control of the company's assets subject to a charge and to raise money from those assets to pay the secured debt. If the debt is paid the receiver vacates office and the directors resume full control;
(b) a liquidator is appointed by the court (compulsory liquidation) or by members and creditors (creditors' voluntary liquidation). His task is to take control of all the company's assets with a view of their realisation and the payment of all debts of the company and distribution of any surplus to members. At the end of a liquidation the company is dissolved.
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