https://www.taxtmi.com/caselaws?id=199561 Where a banking company is unable to pay its debts, section 38(1) of the Banking Companies Act is mandatory and requires winding up, despite the general discretion preserved under the Companies Act, save for the limited saving in section 37. The construction that would leave discretion intact in such cases was rejected as making the mandatory wording ineffective. The Court also upheld refusal to send the proposed arrangement scheme to creditors and shareholders, finding it was not a fit course on the facts and that official liquidation would better protect creditors and employees. en-us Thu, 30 Apr 1953 00:00:00 +0530 Tue, 06 Mar 2018 17:52:43 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=199561 Where a banking company is unable to pay its debts, section 38(1) of the Banking Companies Act is mandatory and requires winding up, despite the general discretion preserved under the Companies Act, save for the limited saving in section 37. The construction that would leave discretion intact in such cases was rejected as making the mandatory wording ineffective. The Court also upheld refusal to send the proposed arrangement scheme to creditors and shareholders, finding it was not a fit course on the facts and that official liquidation would better protect creditors and employees. Case-Laws Companies Law Thu, 30 Apr 1953 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=199561