TaxTMI Login
Just a moment...
Press 'Enter' to add multiple search terms. Rules for Better Search
When case Id is present, search is done only for this
of 
of 
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of of 
All Case Laws
of of All Case Laws
Note
Bookmark
Share
Don't have an account? Register Here
of <h1>Court orders winding up of company under Companies Act due to non-payment of dues. Official Liquidator appointed.</h1> <h3>Malook Chand Agroils Ltd. Versus Himanshu Proteins Ltd.</h3> Malook Chand Agroils Ltd. Versus Himanshu Proteins Ltd. - [1998] 16 SCL 363 (PUNJ. & HAR.) Issues:Petition for winding up under sections 433, 434, and 439 of the Companies Act, 1956.Company's failure to pay its dues.Court's consideration of defence put forward by the respondent-company.Order for winding up and appointment of Official Liquidator.Publication of notice for winding up.Absence of opposition to the petition.Analysis:The judgment pertains to a petition for winding up under sections 433, 434, and 439 of the Companies Act, 1956. The company in question, formerly known as Malook Chand Vanaspati Products Ltd., now Himanshu Proteins Ltd., was involved in a case where its Director, along with other Co-directors, had another sister concern named Malook Chand Agroils Ltd. The latter was previously ordered to be wound up by the Court. The Director of the respondent-company had filed a statement of affairs claiming a specific sum owed by the company, which it failed to pay despite notice. The Official Liquidator of Malook Chand Agroils Ltd. subsequently filed a petition for recovery of the outstanding amount.Following the issuance of notice to the respondent-company and subsequent legal proceedings, the Court found the defence put forward by the respondent-company to be neither bona fide nor plausible. Despite the opportunity to respond, the company neglected to pay its lawful dues. Therefore, the Court ordered the publication of a notice at least 14 days prior to the hearing in specified publications, including the Indian Express and Hindi Tribune. An affidavit of service confirming compliance with the order was filed on record.In the absence of opposition to the petition and after due consideration of the pleas raised in the reply, the Court deemed the respondent-company's defence as unsustainable. The lack of a substantial response from the company, coupled with the absence of any reasonable offer, further supported the Court's decision. Consequently, the Court had no choice but to rule that the respondent-company had failed to pay its lawfully recoverable debts, leading to an order for its winding up in accordance with the law. The Official Liquidator attached to the Court was directed to assume control of the company's assets and affairs immediately.As part of the winding-up process, the Court ordered the publication of notices in specified newspapers and directed the formal order to be drawn in compliance with the law. Notably, no costs were awarded in this matter. The judgment was delivered on May 20, 1998, by Swatanter Kumar, J.
TaxTMI 