https://www.taxtmi.com/caselaws?id=110677 A winding-up petition will not succeed where the underlying debt is bona fide disputed and the materials do not establish inability to pay or neglect to pay an admitted debt. The court treated advances made on interest as falling within the scope of the Assam Money Lenders Act, 1934 and, for this proceeding, regarded the claim as barred by section 7D in the absence of registration or exemption. It also found that the respondent-company disputed the liabilities, including a bank claim secured by mortgage, and that the balance sheets and surrounding facts did not show commercial insolvency. Winding up under sections 433 and 434 of the Companies Act, 1956 was therefore not warranted. en-us Fri, 09 Apr 2004 00:00:00 +0530 Wed, 18 Apr 2012 11:22:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=110677 A winding-up petition will not succeed where the underlying debt is bona fide disputed and the materials do not establish inability to pay or neglect to pay an admitted debt. The court treated advances made on interest as falling within the scope of the Assam Money Lenders Act, 1934 and, for this proceeding, regarded the claim as barred by section 7D in the absence of registration or exemption. It also found that the respondent-company disputed the liabilities, including a bank claim secured by mortgage, and that the balance sheets and surrounding facts did not show commercial insolvency. Winding up under sections 433 and 434 of the Companies Act, 1956 was therefore not warranted. Case-Laws Companies Law Fri, 09 Apr 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=110677