Companies Act, 1956
Sec 433 - Circumstances in which company may be wound up by Court.
A company may be wound up by the Court,
(a) if the company has, by special resolution, resolved that the company be wound up by the Court ;
(b) if default is made in delivering the statutory report to the Registrar or in holding the statutory meeting ;
(c) if the company does not commence its business within a year from its incorporation, or suspends its business for a whole year ;
(d) if the number of members is reduced, in the case of a public company, below seven, and in the case of a private company, below two ;
(e) if the company is unable to pay its debts ;
(f) if the Court is of opinion that it is just and equitable that the company should be wound up.