Document ID: chunk:federal_register_of_legislation:C2025C00185:section:588w
Version: federal_register_of_legislation:C2025C00185
Segment Type: section
Provision Reference: s 588W
Character Range: 2072795–2073493

588W  Recovery of compensation for loss resulting from insolvent trading
 (1) Where:
 (a) a corporation has contravened section 588V in relation to the incurring of a debt by a company; and
 (b) the person to whom the debt is owed has suffered loss or damage in relation to the debt because of the company's insolvency; and
 (c) the debt was wholly or partly unsecured when the loss or damage was suffered; and
 (d) the company is being wound up;
the company's liquidator may recover from the corporation, as a debt due to the company, an amount equal to the amount of the loss or damage.
 (2) Proceedings under this section may only be begun within 6 years after the beginning of the winding up.