When a business goes belly-up in South Africa, the only legal process available for it to tie up loose ends is liquidation, a legal process subject to the Insolvency Act of 1936. When a company is liquidated, the Master of the High Court must appoint a liquidator for the insolvent company. The liquidator must then take control and custody of all assets of the company, and may eventually sell them and distribute the proceeds of the sale among the company’s creditors.
According to the latest figures by Statistics SA, the number of liquidations in SA increased by 128 in June,
