The ranking of debts in selected insolvent public corporations: a comparative study emphasis on government taxes and employees’ wages and benefits

This study seek to make a critical analysis of the law and practice governing distribution of assets in the process of repayment of debts owed by corporate insolvency to its unsecured creditors in Tanzania with reference to government taxes and employees’ wages and/or salaries. In the process of making this analysis, a comparative study of the law relating to corporate insolvency and the Tanzania’s preferential payment regime with that of United Kingdom and Australia is made. Chapter one of this study covers the general introduction which gives background information and setting to the problem to be researched by this study. Chapter two and three looks at the legal framework governing preferential debts in solvency in Tanzania and empirical effects of the law on the unsecured creditors such as government and employees. The reforms process in United Kingdom and Australia on the subject is discussed in Chapter Four of this study and recommendations of the study. On whole, this study conclude that in order to align Tanzania legal framework governing preferential debts in corporate insolvency with the contemporary changes in international insolvency laws and policies, it is high time the Tanzania regime make a comprehensive review of her insolvency law.