The Secretary of State had presented a winding up petition on public interest grounds against a company carrying on an illegal lottery.
Held: The court refused the application of the Secretary of State for the appointment of a provisional liquidator; instead he granted injunctions. It was necessary to procure the cessation of the company’s business but Millett LJ indicated that he thought that the appointment of a provisional liquidator would have been preferable as putting ‘in place an independent officer of the court to take charge of the company’s activities pending the hearing of the petition…’. Chain operation, a money business club which operated without actually selling goods is in effect a lottery and requires regulation accordingly.
Judges:
Sir Richard Scott V-C, Millett LJ
Citations:
Times 30-Jul-1996, [1997] 1 WLR 515
Statutes:
Jurisdiction:
England and Wales
Cited by:
Cited – In the Matter of the Supporting Link; In the Matter of the Insolvency Act 1986 ChD 19-Mar-2004
The Secretary of State sought the winding up of the company. Directors offered undertakings as to their future behaviour.
Held: The Court should be slow to accept such undertakings unless the Secretary consented. The company was solvent, but . .
Lists of cited by and citing cases may be incomplete.
Licensing
Updated: 31 October 2022; Ref: scu.82190
