Discuss the circumstances on which the court orders for winding up of a Company on "just and equitable" ground.

Just and equitable ground:-

lf the Court is of opinion that it is just and equitable if the company should be wound up, the company would be wound up compulsorily .The interpretation of just and equitable clause depends on the facts of each case, the Court may order winding up of a company in case of just and equitable ground :

1. When the object for which it was incorporated has substantially failed or it is impossible to carry on the business of the company except at a loss or the existing and provable assets are inadequate to meet the liabilities; or

2. When the majority of the shareholders are using their powers unfairly; or

3. Where there is a deadlock in the management of the company; or

4. Where public interest is likely to be prejudiced; or

5. When the company was formed to carry out fraudulent or illegal business;

6. When the company is a mere bubble and does not carry on any business.