The High Court rejected the appellants' application for release ...

Appellants' Preferential Payment Claim Rejected; Must Join Creditors for Dividends in Company Wind-Up Proceedings.

December 11, 2024

Case Laws Companies Law HC

The High Court rejected the appellants' application for release of the amounts deposited by the respondent company. The appellants' contention that their petition was prior in time, entitling them to preferential payment from the deposited amount, was unmerited. Since the Company Court had decided to proceed with winding up the company, the appellants would have to stand with other creditors for recovering dividends u/s 529 of the Act. Their petition was rendered infructuous once the winding up order was passed, as a company can be wound up only once. The appellants' application seeking withdrawal of the deposited amount in their disposed petition was not maintainable, as they could not have better rights than other creditors over the company's properties. The appeal was disposed of.

View Source

← Previous Next →

The High Court rejected the appellants' application for release ...

Appellants' Preferential Payment Claim Rejected; Must Join Creditors for Dividends in Company Wind-Up Proceedings.

December 11, 2024

Case Laws Companies Law HC

You may also like:

Declaration of Dividend - company in liquidation - Since the unsecured creditors have filed individual claims and their claims were adjudicated issuing respective Form...

Disqualification of a director of the financial creditor to sign the Section 7 application was challenged. The application u/s 7, signed by the director of the financial...

TDS u/s 194A - TDS on deemed dividend - loan advanced by the assessee company to the other group companies - Even if, the appellant company hold 100% shares in these...

The Appellate Tribunal affirmed the decision to exclude the Appellant and other unsecured Financial Creditors from the Committee of Creditors (CoC). The key issues were...

Initiation of CIRP - Insurance Company has made payment to the Operational Creditor of its claim - third party liability - Liability of Corporate debtor to discharge its...

Locus of appellant - The NCLT's decision dismissed the Appellant's objections to a scheme of amalgamation involving two companies - Appellant contended that they were a...

CIRP - Classification of Appellant as Operational Creditor and Exclusion from COC Meetings - Financial Creditor or Operational Creditor - The Supreme Court held that the...

Taxability of dividends - dividend is declared, distributed or paid by a domestic company to a non-resident shareholder(s) - The Tribunal held that, additional income...

Refund claim rejected by adjudicating authority on grounds that services provided by appellant to SOLCIL did not qualify for exemption under Notification No. 25/2012-ST...

NCLAT dismissed appeal against order rejecting claim of Rs. 42.86 crores by appellant as unsecured creditor. No evidence of loan advanced to corporate debtor. Agreement...

The case involves liquidation of a corporate debtor where a creditor sought refund of an amount with interest paid to prevent invocation of their Bank Guarantee. The...

The Appellant, a related party unsecured financial creditor, challenged the resolution plan approved by the Committee of Creditors (CoC) and the Adjudicating Authority,...

Recovery proceedings of tax dues - preferential right - secured creditors - Income Tax Department’s preferential right to recovery of debts over other creditors is...

Power of Resolution Professional to decide or reject the claim of one or other 'Financial Creditor' or 'Operational Creditor' - once resolution plan has been approved by...

Approval of resolution plan - Rejection of the claim of the appellant as Financial Creditors - payment of Earnest Money - The disbursement was not in consideration for...

Quick Updates: