https://www.taxtmi.com/caselaws?id=98734 A winding-up petition under section 433(e) of the Companies Act, 1956 is not maintainable where the alleged debt is bona fide disputed. Here, the company produced contemporaneous records and correspondence showing that the creditor was another person and that the liability had been settled by delivery of goods. Because the dispute was supported by company documents and was not a mere sham, the winding-up court was not the proper forum to determine the truth of the debt. The petition therefore failed on the ground that inability to pay debts was not established. en-us Wed, 10 Sep 1969 00:00:00 +0530 Sat, 21 Jan 2012 18:01:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=98734 A winding-up petition under section 433(e) of the Companies Act, 1956 is not maintainable where the alleged debt is bona fide disputed. Here, the company produced contemporaneous records and correspondence showing that the creditor was another person and that the liability had been settled by delivery of goods. Because the dispute was supported by company documents and was not a mere sham, the winding-up court was not the proper forum to determine the truth of the debt. The petition therefore failed on the ground that inability to pay debts was not established. Case-Laws Companies Law Wed, 10 Sep 1969 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=98734