https://www.taxtmi.com/caselaws?id=114020 A disputed interest claim cannot, by itself, be used to force payment through winding-up proceedings when the principal debt has been substantially admitted and paid. Where the debtor raises a bona fide defence on interest and the dispute is not sham, the company court should not make avoidance of admission or publication contingent solely on payment of that disputed amount. Interest may form part of a debt and, where the contract is silent, the Interest Act, 1978 may be relevant, but winding-up is not a coercive recovery tool absent a clear finding of inability to pay or commercial insolvency. The condition imposed for payment of disputed interest was unsustainable, and the creditor was left to pursue independent recovery proceedings. en-us Tue, 30 Sep 2008 00:00:00 +0530 Thu, 27 Nov 2014 13:35:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=114020 A disputed interest claim cannot, by itself, be used to force payment through winding-up proceedings when the principal debt has been substantially admitted and paid. Where the debtor raises a bona fide defence on interest and the dispute is not sham, the company court should not make avoidance of admission or publication contingent solely on payment of that disputed amount. Interest may form part of a debt and, where the contract is silent, the Interest Act, 1978 may be relevant, but winding-up is not a coercive recovery tool absent a clear finding of inability to pay or commercial insolvency. The condition imposed for payment of disputed interest was unsustainable, and the creditor was left to pursue independent recovery proceedings. Case-Laws Companies Law Tue, 30 Sep 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=114020