https://www.taxtmi.com/caselaws?id=765154 The Bombay HC set aside orders granting stay of winding up proceedings under Section 466 of the Companies Act, 1956. The court held that mere settlement with creditors or workers does not entitle parties to stay winding up proceedings. Courts must establish bona fide intent and consider commercial morality, not just creditor wishes. Section 466 confers discretion requiring proof that proceedings ought to be stayed. The jurisdiction cannot be used to acquire company assets at throwaway prices. The appeal court failed to apply proper principles governing discretionary powers under Section 466, leading to dissolution of the stay. en-us Wed, 22 Jan 2025 00:00:00 +0530 Thu, 23 Jan 2025 14:00:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=765154 The Bombay HC set aside orders granting stay of winding up proceedings under Section 466 of the Companies Act, 1956. The court held that mere settlement with creditors or workers does not entitle parties to stay winding up proceedings. Courts must establish bona fide intent and consider commercial morality, not just creditor wishes. Section 466 confers discretion requiring proof that proceedings ought to be stayed. The jurisdiction cannot be used to acquire company assets at throwaway prices. The appeal court failed to apply proper principles governing discretionary powers under Section 466, leading to dissolution of the stay. Case-Laws Companies Law Wed, 22 Jan 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=765154