Etymology:
Meaning and Origin:
A liquidator is a person or company appointed to manage the assets of a company that has entered into liquidation. Liquidation is a legal process that involves selling off the remaining assets of a company that is insolvent or has ceased trading.
The term "liquidator" originated in the 19th century, when companies began to enter into voluntary liquidation. The purpose of liquidation was to ensure that the company's creditors were paid their dues, and that any remaining assets were distributed to the company's shareholders.
Over time, the role of the liquidator has evolved to include not only managing the assets of the company, but also investigating the company's financial affairs, tracing assets, and distributing the proceeds to creditors and shareholders.
Today, liquidators play an important role in the financial and legal system, ensuring that the interests of creditors and shareholders are protected when a company enters into liquidation.
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