Section 588U — Corporations Act 2001: Events preventing creditor from suing

(1) A creditor of a company that is being wound up cannot begin proceedings under section 588M in relation to the incurring of a debt, or the making of a disposition, by the company if: (a) the company’s liquidator has applied under section 588FF in relation to the debt or disposition, or in relation to a transaction under which the debt was incurred; or (b) the company’s liquidator has begun proceedings under section 588M in relation to the incurring of the debt or the making of the disposition; or (c) the company’s liquidator has intervened in an application for a civil penalty order against a person relating to: (i) a contravention of subsection 588G(2) relating to the incurring of the debt; or (ii) a contravention of subsection 588GAB(2) or 588GAC(2) relating to the disposition; or (d) the company’s liquidator has requested ASIC to make an order under subsection 588FGAA(3) relating to the disposition; or (e) ASIC has made an order under subsection 588FGAA(3) relating to the disposition. (2) Subsection (1) has effect despite sections 588R and 588T.