1. The Tribunal may, on receipt of a petition for winding up under section 272 pass any of the following orders, namely:—
a. dismiss it, with or without costs;
b. make any interim order as it thinks fit;
c. appoint a provisional liquidator of the company till the making of a winding up order;
d. make an order for the winding up of the company with or without costs; or
e. any other order as it thinks fit:
Provided that: an order under this sub-section shall be made within ninety days from the date of presentation of the petition:
Provided further that: before appointing a provisional liquidator under clause (c ), the Tribunal shall give notice to the company and afford a reasonable opportunity to it to make its representations, if any, unless for special reasons to be recorded in writing, the Tribunal thinks fit to dispense with such notice:
Provided also that the Tribunal shall not refuse to make a winding up order on the ground only that the assets of the company have been mortgaged for an amount equal to or in excess of those assets, or that the company has no assets.
2. Where a petition is presented on the ground that it is just and equitable that the company should be wound up, the Tribunal may refuse to make an order of winding up, if it is of the opinion that some other remedy is available to the petitioners and that they are acting unreasonably in seeking to have the company wound up instead of pursuing the other remedy.
Legal Commentary & Landmark Judgments: Section 273
Section 273 prescribes the statutory orders the National Company Law Tribunal may pass upon hearing a winding-up petition, including dismissal, interim orders, appointment of provisional liquidators, or winding-up orders.
This statutory framework establishes clear operational guidelines, balancing legal compliance with procedural safeguards.
Section 273 balances creditor and member protections against corporate survival. Appointing a provisional liquidator instantly divests the board of management powers under Section 277, paralyzing operations. The 90-day statutory timeline for disposal requires NCLT benches to prioritize winding-up admissions while applying the alternative-remedy filter under Section 273(2).