https://www.taxtmi.com/caselaws?id=126931 A non-banking financial company was found to have lost its substratum after carrying on business without valid registration, defaulting on matured deposits, and lacking any realistic revival or income source. The record also showed persistent non-payment of interest and a serious mismatch between liabilities and realisable assets, so the company was held unable to pay its debts. Applying the Reserve Bank of India Act and the Companies Act, the Court held that continued operation was detrimental to depositors, creditors and public interest, and therefore winding up was justified. The company was ordered to be wound up and the Official Liquidator appointed. en-us Fri, 24 Dec 2010 00:00:00 +0530 Wed, 06 Feb 2013 12:35:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=126931 A non-banking financial company was found to have lost its substratum after carrying on business without valid registration, defaulting on matured deposits, and lacking any realistic revival or income source. The record also showed persistent non-payment of interest and a serious mismatch between liabilities and realisable assets, so the company was held unable to pay its debts. Applying the Reserve Bank of India Act and the Companies Act, the Court held that continued operation was detrimental to depositors, creditors and public interest, and therefore winding up was justified. The company was ordered to be wound up and the Official Liquidator appointed. Case-Laws Companies Law Fri, 24 Dec 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=126931