1. Present winding up petition is filed by the Reserve Bank of India (RBI) against M/s. Sahara India Financial Corporation Limited (SIFCL) under Section 45-MC of Reserve Bank of India Act 1934 (RBI Act). The proceedings are being held as per procedure prescribed by Part VII of the Companies Act, 1956. SIFCL is a Residuary Non-Banking Financial Company (RNBFC).

2. Sub-section (1) of Section 45-MC of RBI Act provides the grounds on which RBI can file a winding up petition against the NBFCs. Subsection

(4) further provides that the provisions of Companies Act 1956, relating to winding up of a Company, shall apply to a winding up proceeding initiated by RBI under Section 45-MC of the RBI Act. Section 45-MC reads as follows:-

"45MC. Power of Bank to file winding up petition.

(1) The Bank, on being satisfied that a non-banking financial company,–

(a) is unable to pay its debt; or

(b) has by virtue of the provisions of section 45-IA become disqualified to carry on the business of a non-banking financial institution; or

(c) has been prohibited by the Bank from receiving deposit b