Law: Companies Act, 2017

Section: 301,302,5,6

Companies Act (XIX of 2017)--- ----Ss. 301, 302, 5 6---Winding up of company by court---Company when deemed unable to pay its debts---Jurisdiction, powers and procedure of courts under Companies Act, 2017---Determination as to a companys inability to pay debts---Scope sought winding up of the company, inter alia, on ground of an arbitration award in favour of petitioner, which amount was a debt that the company was unable to pay---Validity---Winding up petition could be based on an arbitration award which had special significance, however Company Court did not enforce such award, but merely went into question as to whether a debt was presently payable and whether a dispute was raised which was prima facie bona fide or not---Award was to be relied upon by way of an additional piece of evidence of debt due to a party---Decree in favour of an another creditor of the company had been passed, coupled with other suits for recovery pending against said company along with passing of arbitration award, enough proof existed to satisfy court regarding contingent and prospective liabilities of company and its inability to pay debts---Company, had not filed its financial statements or annual returns and thus per S. 301(d) of Companies Act, 2017, it was also liable to be wound up on such default---On basis of record, and fact that companys business operations had remained suspended over the last decade, circumstances in S. 301 of Companies Act, 2017 were triggered and it was just and equitable that company be wound up---High Court directed that the company be wound up in accordance with provisions of Company Act, 2017---Petition was allowed, accordingly. Messrs United Ethanol Industries Ltd. v. Messrs JDW Sugar Mills Ltd. through Chief Executive and another 2020 CLD) 945; Dalhousie Jute Co. Ltd. v. Mulchand Lakshmi Chand 1983 53 CompCas 607 Cal. and Hafiz Muhammad Abdullah and 5 others v. Hafiz Muhammad Adnan and 3 others 2018 CLC 827 rel. JUDGMENT SHAHID KARIM, J.--- This is a petition for winding up of respondent No.1 Messrs Essem Hotels (Pvt.) Ltd. (Essem) brought under sections 301, 302(1)(b)(c) read with sections 5 and 6 of the Companies Act, 2017. 2. The facts may be…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492