https://www.taxtmi.com/caselaws?id=98047 Section 227 of the Companies Act, 1948 was treated as empowering the Court to validate a disposition of company property even before a winding-up order, where the transaction is plainly beneficial to creditors and the surrounding facts are sufficiently clear. The provision was read as protecting creditors and preserving asset value during winding-up proceedings, not as confined to cases in which a winding-up order has already been made. On the facts, the proposed sale of leasehold premises would preserve value and benefit unsecured creditors, so the Court exercised its jurisdiction in favour of validation. en-us Mon, 13 May 1963 00:00:00 +0530 Thu, 19 Jan 2012 10:27:26 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=98047 Section 227 of the Companies Act, 1948 was treated as empowering the Court to validate a disposition of company property even before a winding-up order, where the transaction is plainly beneficial to creditors and the surrounding facts are sufficiently clear. The provision was read as protecting creditors and preserving asset value during winding-up proceedings, not as confined to cases in which a winding-up order has already been made. On the facts, the proposed sale of leasehold premises would preserve value and benefit unsecured creditors, so the Court exercised its jurisdiction in favour of validation. Case-Laws Companies Law Mon, 13 May 1963 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=98047