Section 224 - Application to Court for exemption on grounds of insolvency

(1) A company shall apply to the Court for an order exempting the company from the obligation to purchase the shares of the company, where

(a) a notice is given to the company under section 221;

(b) the Board has resolved that the purchase by the company of the shares to which the notice relates would result in the company becoming insolvent as defined in the First Schedule; and

(c) the company has, following reasonable efforts to do so, been unable to arrange for the shares to be purchased by another person in accordance with paragraph (b) of subsection (2) of section 221.

(2) Where the Court is satisfied that the purchase of the shares would result in the company becoming insolvent and the company has made reasonable efforts to arrange for the shares to be purchased by another person in accordance with paragraph (b) of subsection (2) of section 221, the Court may make

(a) an order exempting the company from the obligation to purchase the shares;

(b) an order suspending the obligation to purchase the shares; or

(c) any other order that the court considers fit, including an order referred to in subsection (2) of section 227.