Payment of subsequent interest ensures admitted creditors receive interest on proven claims from winding up order to final distribution. Where a surplus exists after payment in full of all claims admitted to proof, admitted creditors are entitled to interest on their admitted claims from the date of the winding up order or resolution until declaration of the final distributable sum; such interest is computed on the admitted amount after adjusting distributable sums declared at each stage and is payable at a rate not exceeding the prime lending rate fixed by the Reserve Bank of India.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Payment of subsequent interest ensures admitted creditors receive interest on proven claims from winding up order to final distribution.
Where a surplus exists after payment in full of all claims admitted to proof, admitted creditors are entitled to interest on their admitted claims from the date of the winding up order or resolution until declaration of the final distributable sum; such interest is computed on the admitted amount after adjusting distributable sums declared at each stage and is payable at a rate not exceeding the prime lending rate fixed by the Reserve Bank of India.
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