Question

If default is made in delivering the annual return to the Registrar, the company is likely to face
(a) compulsory winding up by the tribunal
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b) voluntary winding up by members
c) voluntarily winding up by creditors
(d) none of the above​

Answer 1

Answer:

compulsory winding up by tribunal

Answer 2

The correct answer is OPTION A: compulsory winding up by the tribunal

• In the following situations, a Tribunal has the competence to dissolve a private limited company:

1. The corporation has chosen to be wound up by a Tribunal through a special order because it is unable to pay its creditors.
2. The Tribunal believes the company's affairs were conducted fraudulently, that it was founded for fraudulent and unlawful purposes, or that persons engaged in its establishment or management committed fraud, misfeasance, or misconduct.
3. The company failed to file annual returns and financial statements with the Registrar for the previous five financial years, and the Tribunal finds that winding it up is just and equitable.