Winding Up: Corporate Attorney here will help you in Business/Company Winding up Legal Services. The Company winding-up or Liquidation of a company occur while the company is in loss and has to discharge all the creditors' debts. In fact, The winding-up of a company is an activity in which holdings and properties of the company has to be disposed  for the purpose of the settlement of dues. After settling the Liabilities, the surplus amount must be distributed and then officially dissolve or no longer exists. Find below the details with regards to the winding up of a company by the tribunal as per section 357 of the Companies Act 2013.

What is Winding up of a Company?

Under Section 270 of the Act of 2013, you can start the process of Winding up the company in two ways either by the NCLT or voluntarily by the company itself. The company in the first case gets an order by the court for the company's winding down, and in the second case, shareholders or creditors themselves allow the liquidation of the company if the ability to pay debts or suffer losses in business.

Winding Up: Corporate Attorney here will help you in Business/company winding up Legal Services. Contact Corporate Attorneys can help with litigation

Why winding up of a Company by the National Company Law Tribunal?

The National Company Law Tribunal can Wind up the company under section 271 under the following criteria:

  1. If the company does not pay debts, creditors' debt that exceeds RS 1 LAKH will mature and not be paid by the company within 21 days from the due date, or any executive decision that is approved by creditors or NCLT has a reason for the company will not pay off what debt Even the company will be responsible for Winding Up.
  2. In the event that the company has made a provision by issuing a special resolution that was finally made by National Company Law Tribunal.
  3. In the case of a sick company if there is no resurrection and rehabilitation, the Tribunal can order for the closure of the company.
  4. If the company is formed cheating, or has a reason to believe that business activities are carried out cheating then the company can be closed by the court.
  5. In the case of company formation is for the purpose that violates the law, or the company's management is guilty of violations or discrepancies, the Winding Up is initiated by NCLT
  6. In the event that the company failed to send annual returns and financial statements from the last five years of financial years, the ROC made the company avenged to be responsible for Winding Up.
  7. If the tribunal has the opinion that winding up of a company is necessary for the good faith of the company.

Who can file the petition for winding up of a company?

 Subject to the provisions of Section 272 of the Act the following can file present the petition for winding up of a company:

  • The company
  • Liquidators
  • Creditors of the company holding debentures who are a trustee or not a trustee have appointed
  • prospective or Contingent Creditors whose debts are Due
  • Registrar
  • The company Shareholders or the contributors, who are holder of the paid-up shares
  • The officials authorized on behalf of the Central or state govt

Hire Corporate Attorneys for Winding up of a Company

Every Company needs to consult a Corporate Attorney at several points. Whether you form a new Corporation, operate an established business, or Winding Up of Company, you can benefit from the advice of an experienced Company Advocate.

Many business owners are waiting to consult with lawyers until they are truly involved in legal disputes. This is a big mistake that can be charged Lakhs of Rupees.

Hire Corporate Attorneys for Winding up of a Company. Top Corporate Attorneys in this Law Firm can help with litigation, their role is especially preemptive. They can help you identify potential problems and take action to protect your business. Hiring business lawyers such as creating a business strategy or buying insurance - you do it to anticipate problems, not to react to them.