Companies Act 2014 section 688

Reporting to Director of misconduct by liquidators

Section 688 requires prescribed professional bodies to report to the Corporate Enforcement Authority when their disciplinary processes identify misconduct by a member acting as a liquidator in a winding up.

• Where a professional body's disciplinary committee finds that a liquidator member has failed to maintain appropriate records during a winding up, this must be reported to the Corporate Enforcement Authority immediately.
• Where the disciplinary committee has reasonable grounds to believe a liquidator member has committed a serious offence (category 1 or 2) during a winding up, this must also be reported promptly with full details.
• The report to the Authority must include specific details of the finding or of the alleged offence, as appropriate.
• If a professional body fails to comply with this reporting obligation, both the body itself and any officer responsible for the failure are guilty of a category 3 offence.