Winding-up recommendation accepted where the statutory board's report went unrebutted and the company failed to appear.

A specialised statutory board's recommendation for winding up under section 20 of the Sick Industrial Companies (Special Provisions) Act, 1985 was placed before the HC and remained unrebutted. The company did not appear despite service, and the record supported the view that winding up was appropriate under the Companies Act, 1956. The Court accepted the recommendation and ordered the company to be wound up. The connected petition was disposed of with liberty to revive it if the winding-up order were later recalled or withdrawn.

---

---

Issues: Whether the company was liable to be wound up on acceptance of the Board for Industrial and Financial Reconstruction's recommendation.

Analysis: The recommendation of the specialised statutory board under section 20 of the Sick Industrial Companies (Special Provisions) Act, 1985 was before the Court and remained unrebutted and unopposed. The company had also failed to appear despite service, and the material on record supported the conclusion that winding up was appropriate under the Companies Act, 1956.

Conclusion: The winding-up recommendation was accepted and the company was ordered to be wound up.

Final Conclusion: The petition seeking winding up succeeded, and the connected petition was disposed of with liberty to revive if the winding-up order were recalled or withdrawn.

Ratio Decidendi: A statutory recommendation for winding up by the specialised board, when unrebutted and supported by the record, may be accepted and acted upon by the Court for ordering winding up under the Companies Act, 1956.

---