Board rules that director has no standing to bring a claim on behalf of a company in liquidation.
In an appeal from the Supreme Court of Mauritius, the Privy Council has dismissed two appeals by Stephen Mbugua Mwagiru, a director of Manhattan Coffee Investment Holding, ruling that he had no standing to continue litigation in the name of the Mauritian company once it had entered liquidation. The Privy Council (the Board) held that, while a court may in some cases authorise someone other than a liquidator to bring proceedings on behalf of a company in liquidation, that power is generally confined to creditors, shareholders with a real economic interest, or others entitled to benefit from the company’s assets, not to directors acting…