https://www.taxtmi.com/caselaws?id=458537 The HC dismissed the application for transaction validation under Section 536(2) of the Companies Act, maintaining the statutory presumption of voidity. The court found insufficient evidence of the transaction's genuineness and bonafides, and noted the adverse impact on the secured creditor's rights. The applicant failed to meet the burden of proof, and the sale without the secured creditor's consent was deemed to frustrate their rights. The court directed the OL to conduct fresh valuations and advertise the sale of assets, ensuring protection of the company's and creditors' interests. en-us Thu, 06 Aug 2009 00:00:00 +0530 Tue, 05 Nov 2024 15:55:32 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=458537 The HC dismissed the application for transaction validation under Section 536(2) of the Companies Act, maintaining the statutory presumption of voidity. The court found insufficient evidence of the transaction's genuineness and bonafides, and noted the adverse impact on the secured creditor's rights. The applicant failed to meet the burden of proof, and the sale without the secured creditor's consent was deemed to frustrate their rights. The court directed the OL to conduct fresh valuations and advertise the sale of assets, ensuring protection of the company's and creditors' interests. Case-Laws Companies Law Thu, 06 Aug 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=458537