WINDING UP: A company can be wound up in two different ways-
Voluntary Winding Up: Company Suo-moto may apply for the company to be wound up by the Tribunal.
Compulsory Winding Up: Company can be wound up by the Tribunal in the following Reason:
a) company has acted against the interests of the sovereignty and integrity of India, the security of the State, friendly relations with foreign States, public order, decency or morality;
b) Application made by the Registrar or any other person authorised by the Central Government, the Tribunal is of the opinion that the affairs of the company have been conducted in a fraudulent manner or the company was formed for fraudulent and unlawful purpose or the persons concerned in the formation or management of its affairs have been guilty of fraud, misfeasance or misconduct in connection therewith and that it is proper that the company be wound up;
c) Company has made a default in filing with the Registrar its financial statements or annual returns for immediately preceding five consecutive financial years;
d) Tribunal is of the opinion that it is just and equitable that the company should be wound up.
