What is Section 434 of Companies Act?
434. Company when deemed unable to pay its debts. (c) if it is proved to the satisfaction of the Court that the company is unable to pay its debts, and, in determining whether a company is unable to pay its debts, the Court shall take into account the contingent and prospective liabilities of the company.
What are the grounds under Section 433 of Companies Act?
Section 433(e) of the Companies Act, 1956 provides that in cases where the company is unable to pay its debts the court can order winding up. The expression ‘unable to pay its debts’ has to be taken in the commercial sense of being unable to meet current demands though the company may be otherwise solvent6.
What is Section 581a of Companies Act 1956?
(2) A Producer Company shall hold its first annual general meeting within a period of ninety days from the date of its incorporation. (3) The Members shall adopt the articles of the Producer Company and appoint directors of its Board in the annual general meeting.
When a company is unable to pay its debts it proceeds to?
Companies Act, 2013. (c) if it is proved to the satisfaction of the Tribunal that the company is unable to pay its debts, and, in determining whether a company is unable to pay its debts, the Tribunal shall take into account the contingent and prospective liabilities of the company.
What happens if a company Cannot pay its debts?
If a corporation stops making debt payments as required or stops communicating with creditors, a corporation’s creditors may sue to collect the amount owed. The balance owed for an unpaid debt is often increased to include unpaid interest, collection costs and attorney fees in the civil judgment.
What happens if a limited company Cannot pay its debts?
If your company cannot pay its debts Your limited company can be liquidated (‘wound up’) if it cannot pay its debts. The people or organisations your company owes money to (your ‘creditors’) can apply to the court to get their debts paid. making an official request for payment – this is called a statutory demand.
Is Companies Act 1956 valid?
MCA Repeals Companies Act, 1956 from 30 January 2019.
Is Companies Act 1956 still valid?
Companies Act, 1956 stands Repealed from 30 January 2019: MCA Notification. MCA has notified that provisions of Section 465 of the Companies Act, 2013 would partially come into force with effect from 30 Jan.
Is Section 465 of Companies Act 2013 notified?
MCA has notified that provisions of Section 465 of the Companies Act, 2013 would partially come into force with effect from 30 Jan. 2019, in so far as such provisions relates to repealing of the Companies Act, 1956, i.e. the Registration of Companies (Sikkim) Act 1961 will continue to remain in force.
Can producer company buy land?
Karnataka government notifies Ordinance on opening up market for non-irrigated farm land. Now any Indian, or a trust, society, company or an educational institution can buy farmland in Karnataka regardless of the buyer’s annual income from non-agricultural sources.