Explain the order of payment to be followed by the liquidator, out of the amount realised from the sale of assets not specifically pledged and the amount contributed by the contributories ?

The amount received from the assets not specifically pledged & the amounts contributed by the contributories must be distributed by the liquidator in the following order: Expenses of winding up including the liquidators remuneration. Creditors secured by the floating charge on the assets of the company. Preferential creditors. Unsecured creditors. The surplus, if any, amongst the contributories (i.e. preference shareholders & equity shareholders) according to their respective rights & interests.