Well I am against liquidation as it allows the previous...

Well I am against liquidation as it allows the previous management to get away without any challenge. If there is no scrutiny then this behaviour will keep happening. The shareholders lost a lot of money. They need to be heard.
So liquidation just takes what is left and shares it out. I would assume that there is some recourse to assets and those parties that were in control.
It is always a balance and deciding when to stop - is a delicate balance. As the directors have a lot of skin in the game we can be reasonably sure they wint waste money.