https://www.taxtmi.com/caselaws?id=98456 Under section 535 of the Companies Act, 1956, a party is a person interested in disclaimer proceedings only if directly and substantially affected; a mere commercial or indirect interest is insufficient, so the corporation was not a necessary party. Requests for time to pay were treated as extensions, not a written application requiring a disclaimer decision, and section 535(4) was not attracted; the liquidator was therefore not barred from seeking disclaimer. The share allotment contract was found onerous because it yielded no benefit, involved unquoted shares, and exposed the estate to future liability. Leave to disclaim was accordingly justified to protect creditors and facilitate winding up. en-us Fri, 15 Sep 1967 00:00:00 +0530 Fri, 20 Jan 2012 17:02:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=98456 Under section 535 of the Companies Act, 1956, a party is a person interested in disclaimer proceedings only if directly and substantially affected; a mere commercial or indirect interest is insufficient, so the corporation was not a necessary party. Requests for time to pay were treated as extensions, not a written application requiring a disclaimer decision, and section 535(4) was not attracted; the liquidator was therefore not barred from seeking disclaimer. The share allotment contract was found onerous because it yielded no benefit, involved unquoted shares, and exposed the estate to future liability. Leave to disclaim was accordingly justified to protect creditors and facilitate winding up. Case-Laws Companies Law Fri, 15 Sep 1967 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=98456