Companies Act 2014 section 667

Appointment of committee of inspection in a creditors' voluntary winding up

Section 667 deals with how a committee of inspection is appointed during a creditors' voluntary winding up, including the composition of the committee and the rights of creditors to object to company-nominated members.

• Creditors may appoint up to five persons to form a committee of inspection at the creditors' meeting or any subsequent meeting, and an employees' representative, if elected, must be one of those five.
• The company itself may appoint up to three additional members to the committee, provided the total committee size never exceeds eight members.
• Creditors have the power to resolve that any or all of the company's appointees should not serve on the committee, in which case those persons are disqualified unless the court directs otherwise.
• Where the court is asked to review such a creditor resolution, it may appoint replacement members to serve on the committee of inspection in place of those removed.