1999 (9) TMI 890 - HC - Companies Law

Summary

The High Court of Madras ruled that a company should not be wound up solely for non-payment of interest when it has demonstrated the ability to pay the principal amount due. Winding up is not a substitute for normal recovery methods like civil suits. Creditors should pursue civil remedies for interest disputes instead of seeking winding up. Judgment delivered on September 17, 1999.