Section 59: Restriction on voluntary winding up

59. Restriction on voluntary winding up.-- Notwithstanding anything to the contrary contained in section 1[347 of the Companies Act, 2017 (XIX of 2017)], no banking company which holds a licence granted under section 27 may be voluntarily wound up unless the State Bank certifies in writing that the company is able to pay in full all its debts to its creditors as they accrue, and without prejudice to the provisions contained in sections 1[379 and 380] of that Act, the High Court shall, on application of the State Bank, order the winding up of the company by the High Court if at any stage during the voluntary winding up proceedings the company is not able to meet such debts as they accrue.

Effective date: 1962-06-07

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