(b) Jack and Jill are the directors of All-Bright Sdn Bhd, a company trading in lights and lighting equipment. In the last couple of years business has been bad and the company is hopelessly insolvent. Despite this situation, two months ago, Jack and Jill, in collaboration with Ben, the office manager, bought in the name of the company, RM1 million worth of lighting equipment on credit from Starlight Bhd, without disclosing the company’s financial position. It was clear that there was no intention on the part of Jack, Jill and Ben to pay Starlight Bhd for the lighting equipment. The company is now in insolvent liquidation and the liquidator wishes to know whether Jack, Jill and Ben can be made personally liable for the debts and other liabilities of the company. He also wishes to know whether they could be prosecuted for any offence under the Companies Act 1965 in respect of the transaction with Starlight Bhd.Required:Advise the liquidator. (5 marks)
