STATUTORY DEMAND – SECTION 161 OF THE COMPANIES ACT 1981 – ADJOURNMENT OF PETITION
In this matter, the Petitioner was a creditor who had presented a Statutory Demand under Section 162 of the Companies Act, 1981. Section 162 provides, where a statutory demand is served and the company has not paid the debt within three weeks, the company is deemed to be insolvent. The Company appeared in opposition to the Petition, not contending the debt is disputed, but seeking the adjournment of the Petition for one week. The Company sought the adjournment to enable it to supplement an Affidavit filed, which expressed the very indefinite hope that some form of restructuring of the operating companies, which are in bankruptcy in Brazil, may yield monies which can be distributed upwards to Agrenco Limited and to its creditors on terms which would make a winding up unnecessary.