70 Distributions

(1) Subject to this Sub-Part and to any other requirement imposed by the
memorandum or articles of the company, the directors of a company (other
than a protected cell company) may, by resolution, authorise a distribution
by the company to members at such time and of such an amount as they
think fit if they are satisfied, on reasonable grounds, that the company will,
immediately after the distribution, satisfy the solvency test.

(2) A resolution of directors passed under subsection (1) shall contain a
statement that, in the opinion of the directors, the company will,
immediately after the distribution, satisfy the solvency test.