2008 (7) TMI 565

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

..... - This appeal challenges an order of the learned single judge dismissing the Company Petition No. 568 of 2000 (Rajearajeswari Packaging Products v. Dev Fasteners Ltd. [2002] 108 Comp Cas 715 (Mad)), whereby the appellant came with the request for winding up the respondent-company for the reasons stated therein. Learned counsel for the appellant is heard. Despite service of notice, the respond....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....he payments; that they were also acknowledged; that following the same, there was a statutory notice issued on June 23, 2000, as required by law ; that the same has also been acknowledged ; but, the outstanding amounts were not paid, and under the circumstances, the appellant came forward with this petition for winding up. The petition was countered by the respondent stating, inter alia, that i....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....dent, there was a payment of Rs. 29,222 and the corrugated boxes supplied were of substandard quality, and there were complaints regarding the same, and therefore, they were claiming damages from the appellant, and thus, there were issues to be decided as to the liability. Now, at this juncture, it is to be pointed out that whenever there is a petition for winding up on the basis of any liability,....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... pay". Attractive though the said contention put forth by learned counsel may be at the first instance, it will not stand the scrutiny of law in the considered opinion of this court since "unable to pay the debt" has got an instinct of "neglect to pay". But, in the instant case, what was mentioned was only "failed to liquidate", and hence, "failed to liquidate" cannot be taken as the necessary ple....