Explain what is meant a contributory In relation to corporate insolvency

Under Section 214 of the Companies Act “contributory” means “every person liable to contribute to the assets of a company in the event of its being wound up.”
• The liability of a contributory creates a debt from him to the company.
• These are persons who owe the company in respect of shares held.
• A contributory may be a present or past member of the company.

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