Companies Act 2014 section 642

Prohibition on rewards for appointment

Section 642 prohibits any person from offering, agreeing to give, or giving valuable consideration to a member or creditor of a company in order to influence the appointment of a liquidator.

• It is a criminal offence (category 2) to offer, agree to give, or give any valuable consideration to a member or creditor of a company in connection with a liquidator appointment.
• The prohibition covers attempts to secure one's own appointment or nomination as the company's liquidator.
• It equally covers attempts to secure or prevent the appointment or nomination of another person as the company's liquidator.
• The offence applies regardless of whether the consideration is actually handed over — merely offering or agreeing to give it is sufficient.