What General Assembly of the corporate having debts has to do?
1- If the fact of half total of capital and contingency reserve are unreciprocated, is understood from last years’ balance sheet, board of management call the meeting on short notice and suggests reformatory measures.
2- According to last years’ balance sheet; If the fact of half total of capital and contingency reserve are unreciprocated, is understood from last years’ balance sheet, board of management call the meeting on short notice and suggests reformatory measures. However, general assembly decides not to complete the capital or be content with the one third of the capital, company terminates automatically.
3- If there are signs showing the company is deep in debt;
3,1- Board of management calculates interim financial statement.
3.2- If the fact that current assets are not enough to pay debts is understood from the interim financial statement, the board of management reports the situation to the commercial court of first instance located nearby the company’s dwelling and demands bankruptcy petition.
3.3- Before bankruptcy petition, if the account receivables of the company financing the deficit, accept the fact that the amount they got paid is possible to come after the other receivables can be proven by the authorities, appeal to court for expertising can be considered to be bankruptcy petition.
Source:Turkish Trade Law
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