https://www.taxtmi.com/caselaws?id=103309 Winding-up for inability to pay debts depends on whether the debtor raises a genuine and bona fide dispute over an admitted liability. Technical objections, delayed responses and unsupported denials do not displace evidence of inter-corporate deposits and confirming correspondence. A continuing loan arrangement may remain within limitation where later pleadings merely clarify the originally disclosed transaction rather than introduce a new cause of action. Alleged share or collateral security must have realisable value and be validly created; ineffective security does not defeat maintainability. Compliance with the prescribed affidavit requirements supports admission of the petition. On these principles, winding up was ordered. en-us Mon, 13 May 1996 00:00:00 +0530 Wed, 22 Feb 2012 13:10:16 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=103309 Winding-up for inability to pay debts depends on whether the debtor raises a genuine and bona fide dispute over an admitted liability. Technical objections, delayed responses and unsupported denials do not displace evidence of inter-corporate deposits and confirming correspondence. A continuing loan arrangement may remain within limitation where later pleadings merely clarify the originally disclosed transaction rather than introduce a new cause of action. Alleged share or collateral security must have realisable value and be validly created; ineffective security does not defeat maintainability. Compliance with the prescribed affidavit requirements supports admission of the petition. On these principles, winding up was ordered. Case-Laws Companies Law Mon, 13 May 1996 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=103309