https://www.taxtmi.com/caselaws?id=10061 The court directed the sale of appellants' shares to repay innocent depositors of a financial company. The sale proceeds were exclusively for depositors' benefit, prioritizing their repayment over capital gains tax payment. The court emphasized that funds from the liquidation were meant for depositors and could not be diverted for tax liabilities. The judgment underscores protecting depositors' interests and ensuring funds are used as intended, clarifying the priority of payment in winding up scenarios under section 530 of the Companies Act. The decision upholds depositors' rights and prevents misappropriation of funds designated for their repayment. en-us Mon, 26 Jul 2004 00:00:00 +0530 Tue, 17 Apr 2012 10:50:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=10061 The court directed the sale of appellants' shares to repay innocent depositors of a financial company. The sale proceeds were exclusively for depositors' benefit, prioritizing their repayment over capital gains tax payment. The court emphasized that funds from the liquidation were meant for depositors and could not be diverted for tax liabilities. The judgment underscores protecting depositors' interests and ensuring funds are used as intended, clarifying the priority of payment in winding up scenarios under section 530 of the Companies Act. The decision upholds depositors' rights and prevents misappropriation of funds designated for their repayment. Case-Laws Income Tax Mon, 26 Jul 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=10061