PANCHAPAKESA AIYAR J.

directing the winding up of a company called the Karnatak Vegetable Oils and Refineries Ltd. The company is the appellant. It was incorporated under the Indian Companies Act as a public limited company. Its authorised capital is Rs. 20 lakhs, out of which a capital of Rs. 10, 13, 519 was paid up. The registered office of the company is a Harari Bommanahalli, Bellary district. The respondents who was the petitioning creditor is the Madras Industrial Investment Corporation Ltd. the company borrowed from the respondent a sum of Rs. 6, 50, 000 and secured the said sum by a mortgage dated October 24, 1950. The hypotheca included lands situated at Hospet in the Bellary district and the engines, machinery, plant and factories belonging to the company and which might be erected at any time during the continuance of the mortgage. The principal amount was repayable in 16 equal annual instalments, the first of such instalments to be paid on 30th June, 1953. Interest was payable at the rate of 6 1/2 per cent. twice each year on the 15th June and 15th December. If the interest was paid regularly, there was provision for a rebate of 1 per cent. and in case of def