Winding-up petition admitted due to non-payment of lease rents, leading to insolvency investigation.

The court admitted the petition for winding up the respondent-company based on the petitioner's claim of non-payment of lease rents. Discrepancies in the respondent's defense regarding an oral agreement and voluntary adjustments led to a decision to investigate commercial insolvency later. A prima facie case of debt owed by the respondent, amounting to at least Rs. 12,92,012 plus interest, justified the admission of the winding-up petition.

---

---

Issues:
Claim for non-payment of lease rents and winding up of respondent-company.

Analysis:
The petitioner claimed that the respondent-company failed to pay lease rents totaling Rs. 15,92,012, leading to a total recoverable amount of Rs. 59,35,802. The respondent argued that due to a default by a sister concern of the petitioner, an oral agreement was made to cancel the lease deed and adjust outstanding rentals against damages. The respondent also mentioned an adjustment of Rs. 3 lakhs for bank guarantee cancellation expenses, which the petitioner allegedly suppressed in the company petition.

The court noted discrepancies in the company petition regarding the adjustment of Rs. 3 lakhs and the respondent's reply dated 4-7-1997. However, correspondence revealed that the adjustment was voluntary, with no mention of the alleged oral agreement to forgo future lease rents. The court observed that the respondent's claim did not seem genuine, and the issue of commercial insolvency would be investigated later. A prima facie case was established that the respondent owed at least Rs. 12,92,012 plus interest, leading to the admission of the petition for winding up the respondent-company.

In conclusion, the judgment admitted the petition based on the petitioner's claim of non-payment of lease rents by the respondent-company. The court found discrepancies in the respondent's defense regarding an oral agreement and voluntary adjustments, leading to the decision to investigate commercial insolvency at a later stage. The court's decision was based on establishing a prima facie case of debt owed by the respondent, justifying the admission of the winding-up petition.

---