Section 446 - Suits stayed on winding up order. - Companies Act, 1956

Suits stayed on winding up order. 446. (1) When a winding up order has been made or the Official Liquidator has been appointed as provisional liquidator, no suit or other legal proceeding shall be commenced, or if pending at the date of the winding up order, shall be proceeded with, against the company, except by leave of the [1] [Tribunal] and subject to such terms as the [2] [Tribunal] may impose. [3] [(2) [4] [The Tribunal] shall, notwithstanding anything contained in any other law for the time being in force, have jurisdiction to entertain, or dispose of ___ (a) any suit or proceeding by or against the company; (b) any claim made by or against the company (including claims by or against any of its branches in India); (c) any application made under section 391 by or in respect of the company; (d) any question of priorities or any other question whatsoever, whether of law or fact, which may relate to or arise in course of the winding up of the company; whether such suit or proceeding has been instituted, or is instituted, or such claim or question has arisen or arises or such application has been made or is made before or after the order for the winding up of the company, or before or after the commencement of the Companies (Amendment) Act, 1960 (65 of 1960).] [5] [(3) * * *] [6] [(4) Nothing in sub-section (1) or sub-section (3) [7] shall apply to any proceeding pending in appeal before the Supreme Court or a High Court.] --------------------------------------------- Notes:- [1] Substituted for "Court" by the Companies (Second Amendment) Act, 2002, w.e.f. a date yet to be notified. [2] Substituted for "Court" by the Companies (Second Amendment) Act, 2002, w.e.f. a date yet to be notified. [3] Substituted by the Companies (Amendment) Act, 1960, Act 65 of 1960, section 165, for sub-section (2). [4] Substituted for "The Court which is winding up the company" by the Companies (Second Amendment) Act, 2002. w.e.f. a date yet to be notified. [5] Omitted by the Companies (Second Amendment) Act, 2002. w.e.f. a date yet to be notified. Prior to omission, sub-section (3) it read as under: "(3) Any suit or proceeding by or against the company which is pending in any Court other than that in which the winding up of the company is proceeding may, notwithstanding anything contained in any other law for the time being in force, be transferred to and disposed of by that Court." [6] Inserted by the Companies (Amendment) Act, 1960, Act 65 of 1960, section 165. [7] Reference needs to be omitted.