2015 (6) TMI 369

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....pany to the respondent company to an extent of Rs. 5,84,131/-, were duly received and consumed without any demur or any objection on any count as to quantity and quality by the respondent company. It has been submitted that the respondent company made payment only of Rs. 30,773/- against Rs. 5,84,131/- to the petitioner company. In these circumstances the petitioner company sent a notice dated 19.9.2011 under section 433 read with 434 of the Companies Act 1956 (hereinafter 'the Act of 1956') by speed post to the respondent company calling upon the respondent company to pay the outstanding amount of Rs. 5,53,398/- along-with contracted interest on delayed payment @ 18% p.a. within 21 days from receipt of notice failing which winding ....

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....petition cannot be equated to a suit for recovery of money. It is however, equally true that neglect in payment of debt due as statutorily defined without a bonafide dispute or substantial defence entails the consequence of winding up of a company in default. That is the conclusion from reading of Section 434(1)(a) read with 433(e) of the Act of 1956. 6. The Hon'ble Apex Court in the case of Vijay Industries v. NATL Technologies Ltd. (2009) 3 SCC 527 has held that the considerations to be kept in mind by the Company Court while addressing winding up petition are: (i) Whether the debt due as claimed is prima facie made out; (ii) Whether the respondent company has neglected to pay its debt; (iii) Whether there is a bonafide di....