JUDGMENT :

K.S. RADHAKRISHNAN, J.

1. Leave granted.

2. A Company Petition No. 41 of 2009 was filed by the respondent herein under Sections 433(e) and (f), 434 and 439 of the Companies Act, 1956 before the High Court of Karnataka at Bangalore (hereinafter referred to as the Company Court) praying for winding up of the appellant company on the ground that it had failed to pay a sum of US$ 1,065,714.00 in terms of the Deed of Settlement entered into by the parties on 19.12.2003 towards the fees for the marketing services undertaken by the respondent for the appellant.

3. Prior to the filing of the company petition, a legal notice dated 16.8.2008 was served on the appellant under Section 434(1)(a) of the Companies Act, 1956, calling upon the company to pay the amount within twenty one days from the date of the receipt of that notice, failing which the appellant was informed that appropriate legal proceedings would be initiated. Specific reference was also made to the deed of settlement dated 19.12.2003 and the terms of the Compromise entered into by the parties on 18.3.2006 in O.S. No. 9655 of 2005 before the City Civil Court at Bangalore.

4. The appellant replied to the said notice vide it