https://www.taxtmi.com/caselaws?id=214275 In winding-up proceedings, actual receipt of the statutory demand notice by the company was treated as sufficient despite non-service at the registered office, so that defect did not by itself invalidate the petition. Before directing advertisement of the winding-up petition or appointing a provisional liquidator, the Court must conduct a summary enquiry and give the company an effective opportunity to demonstrate a bona fide dispute, security, counter-claim, or absence of a prima facie case. Where substantial disputes are raised and the petition is being used as a debt-recovery device, coercive steps should not be ordered mechanically. The impugned order was set aside and the matter remitted for fresh consideration after hearing the company. en-us Mon, 19 Sep 2011 00:00:00 +0530 Mon, 11 Feb 2013 16:52:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=214275 In winding-up proceedings, actual receipt of the statutory demand notice by the company was treated as sufficient despite non-service at the registered office, so that defect did not by itself invalidate the petition. Before directing advertisement of the winding-up petition or appointing a provisional liquidator, the Court must conduct a summary enquiry and give the company an effective opportunity to demonstrate a bona fide dispute, security, counter-claim, or absence of a prima facie case. Where substantial disputes are raised and the petition is being used as a debt-recovery device, coercive steps should not be ordered mechanically. The impugned order was set aside and the matter remitted for fresh consideration after hearing the company. Case-Laws Companies Law Mon, 19 Sep 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=214275