Companies Act 2014 section 798

Court may restrain directors and others from removing assets

Section 798 gives the court power to freeze assets by restraining directors, officers, or the company itself from moving assets out of the State or reducing them below a specified level, where there is a risk that assets will be placed beyond the reach of creditors.

• The court can issue an order preventing a director, officer, or the company from removing assets from the State or reducing them below a court-specified amount
• The order requires a qualifying claim and reasonable grounds to believe assets may be moved or disposed of to evade obligations or frustrate a court order
• Only the company itself, a director, member, liquidator, receiver, creditor, or the Corporate Enforcement Authority may apply for such an order
• A qualifying claim must be a substantive civil cause of action arising under the Companies Act 2014, the company's constitution, or from holding an office of the company