https://www.taxtmi.com/caselaws?id=112564 A compromise decree and sale deed relating to company property under winding up were treated as invalid because the transaction was found to have been engineered without proper authorisation, without a board resolution, and on suspicious facts surrounding the alleged agreement, Lok Adalat compromise, execution of the deed, and claimed consideration. The transaction was held to be designed to defeat the winding-up process and to involve fraud on both the District Court and the Lok Adalat. Applying the principle that fraud vitiates every judicial act and that a litigant must come to court with clean hands, the Court held that no rights could arise from the transaction and the applicants acquired no title or interest in the property. en-us Tue, 30 Jun 2009 00:00:00 +0530 Thu, 06 Nov 2014 15:09:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=112564 A compromise decree and sale deed relating to company property under winding up were treated as invalid because the transaction was found to have been engineered without proper authorisation, without a board resolution, and on suspicious facts surrounding the alleged agreement, Lok Adalat compromise, execution of the deed, and claimed consideration. The transaction was held to be designed to defeat the winding-up process and to involve fraud on both the District Court and the Lok Adalat. Applying the principle that fraud vitiates every judicial act and that a litigant must come to court with clean hands, the Court held that no rights could arise from the transaction and the applicants acquired no title or interest in the property. Case-Laws Companies Law Tue, 30 Jun 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=112564