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Any creditor of a company can seek transfer of winding up proceedings pending before a High court to a NCLT   Nov 19, 2020

The Supreme Court of India in the case of M/S KALEDONIA JUTE AND FIBRES PVT. LTD. vs. M/S AXIS NIRMAN AND INDUSTRIES LTD has held that any creditor of a company can seek transfer of winding up proceedings pending before a High court  to a NCLT. In para 43 the Hon'ble Supreme Court held that winding up proceedings are proceedings in rem.
"43. Thus,   the   proceedings   for   winding   up   of   a   company   are  actually proceedings in rem to which the entire body of creditors is a party. The proceeding might have been initiated by one or more creditors, but by a deeming fiction the petition is treated as a joint petition. The official liquidator acts for and on behalf of the entirebody of creditors. Therefore, the word “party” appearing in the 5th proviso to Clause (c) of Sub­section (1) of section 434 cannot be construed   to   mean   only   the   single  petitioning   creditor   or   thecompany  or   the   official   liquidator.   The  words  “party   or   parties”appearing  in   the   5th  proviso  to   l Clause  (c)  of   Sub­section   (1)  of Section 434 would take within its fold any creditor of the company in liquidation."

Please refer to the text of the judgement for facts and details    
 

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