SECTION 33

The competent court which finds the debtor insolvent shall order receivership or liquidation proceedings. It shall order receivership proceedings where it appears to it that the debtor has offered a serious composition proposal, otherwise, it shall order liquidation proceedings. The court’s decision that finds that a company has suspended payments shall have an affect on all the members whose liability is joint, several and indefinite for the company’s debts and may order against each of the said members either receivership or liquidation proceedings. The competent court may, at any stage of the proceedings convert the receivership proceedings into liquidation proceedings where it appears that the debtor is not or is no longer in a position to offer a serious composition proposal. The decision of the competent court shall be subject to appeal. The appellate court that annuls or quashes the decision of the trial court may decide to order receivership or liquidation proceedings.