https://www.taxtmi.com/caselaws?id=103155 A winding-up petition based on alleged unpaid debt cannot proceed where the debt is seriously disputed on facts. The respondent challenged liability by asserting that the supplied goods were defective and substandard, that notice had been given, and that the confirmation letter was not genuine. Because acceptance of goods, defects, and related correspondence raised contested factual issues, the court noted that a winding-up proceeding cannot be used to try a debt dispute without evidence. The record also indicated that the company had sufficient financial capacity to meet liabilities, so the ground of inability to pay debts was not made out. The petition was therefore not maintainable on the facts proved. en-us Wed, 09 Sep 1992 00:00:00 +0530 Tue, 21 Feb 2012 11:14:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=103155 A winding-up petition based on alleged unpaid debt cannot proceed where the debt is seriously disputed on facts. The respondent challenged liability by asserting that the supplied goods were defective and substandard, that notice had been given, and that the confirmation letter was not genuine. Because acceptance of goods, defects, and related correspondence raised contested factual issues, the court noted that a winding-up proceeding cannot be used to try a debt dispute without evidence. The record also indicated that the company had sufficient financial capacity to meet liabilities, so the ground of inability to pay debts was not made out. The petition was therefore not maintainable on the facts proved. Case-Laws Companies Law Wed, 09 Sep 1992 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=103155