Hello everyone!!
I will be really grateful if you guys can help me out with the sections of the Companies Act applicable when a company defaults in making payment to a creditor.
The said creditor wants to file a petition with the company law board. The company has acknowledged the receipt of the finished good but has taken back its stand now is refusing from making the payment.
The creditor is in a serious economic trouble.
Thanks and regards,
Pallavi.
Are there any other sections for any injuction orders??
Companies does not provide any other remedy to a normal creditor other than winding up petition. However, if the creditor is covered under Micro, Small & Medium Enterprises Development Act 2006, it can demand interest for delayed period.
Is there any chance of application of section 239(Inspection/Investigation) ??
CAclubindia
