‘List A’ shall include the present members of the company

‘List A’ shall include the present members of the company, i.e., m.embers whose

names appear in the company’s register of members at the time of the winding-up of the company.

‘List B’ shall include the past members of the company. i.e., members who ceased to be members within one year preceding the commencement of the winding-up of the company.

If the assets of a company in liquidation are insufficient to meet the debts and liabilities of the company and the expenses of the winding-up and to repay the nominal value of the company’s shares, the contributories may be called upon to make good the difference. The contributories who are primarily liable to satisfy the deficiency of the company’s assets are those who are members of it at the commencement of the winding-up, and they are known as the ‘A List’ contributories. But if the Court, or the liquidator in a voluntary winding-up, approves a transfer of shares after the commencement of the winding-up, the transferee, or if there are successive transfers, the latest transferee, will be a’ A List’ contributory in respect of the shares. In a company limited by shares, the only limit on an’ A List’ contributory’s liability is the amount unpaid on his shares, and in a company limited by guarantee, the only limit is the maximum amount guaranteed, plus the amount unpaid on his shares if the company has a share capital [Pennington’s Company Law, Fifth edition, page 928].

Any person who was a member of the company within a year before the commencement of the winding-up may also be called upon to contribute, and such contributories are known as ‘B List’ contributories.

In the event of a company being wound-up every present and past member shall

be liable to contribute to the assets of the company to an amount sufficient

(a) for payment of (i) its debts and Habilities, and (ii) costs, charges and expenses

of the winding-up, and

(b) for the adjustment of the rights of the contributories among themselves.

Liability of Present Members

The liability of a present member (i.e., ‘List A’ contributory) shall be limited

1. In the case of a company limited by shares, to the amount remaining unpaid

on the shares; and

2. In the case of a company limited by guarantee, to the amount undertaken to be

contributed by him to the assets of the company in the event of its being wound-up.