529A. Overriding preferential payments.
1[529A. Overriding preferential payment.-
Notwithstanding anything contained in any other provision of this Act or any other law for the time being in force, in the winding up of a company-
(a) workmen's dues; and(2) The debts payable under clause (a) and clause (b) of sub-section (1) shall be paid in full, unless the assets are insufficient to meet them, in which case they shall abate in equal proportions.]
(b) debts due to secured creditors to the extent such debts rank under clause (c) of the proviso to sub-section (1) of section 529 pari passu with such dues, shall be paid in priority to all other debts.
1. Ins. by Act 35 of 1985, sec. 5 (w.e.f. 24-5-1985).
#LawyerServices #Section #Act #Law #Statute #IndianLaw #Kanoon