FORM NO. 40
[See rule 79] [HEADING AS IN FORM NO.1]
Company Petition No of 19 .
Company Application No ..... of 19 .
A.B. & Co. (Ltd.)‐(in liquidation, by its liquidator' ................................
Petition to sanction compromise or arrangement
The petition of A.B. & Co. (Ltd.), ('in liquidation. by its liquidator) the petitioner
abovenamed is as
1. The object of this petition is to obtain sanction of the Court to a compromise or arrangement
whereby (here set out the nature of the compromise or arrangement).
2. The company was incorporated under the ..... Act... ................................ with a
nominal capital of Rs
into . shares of Rs .. each. of which ... shares were issued and Rs was paid up on each
3. The objects for which the company was formed are as set forth in the company's
association. They are in brief: (Set out the principal objects).
4. [Here set out the nature of the business carried on by the company, its financial
position and the
circumstances that necessitated the compromise or arrangement and the benefits
sought to be
achieved by the compromise or arrangement and its effect].
5. The compromise or arrangement was in the following terms:‐
[Here set out the terms of the compromise or arrangement].
6. By an order made in the above matter on .19 ...• the petitioner was directed to
meeting of [here set out the class of creditors or members of whom the meeting was to
be held] of the
company for the purpose of considering and, if thought fit. approving. with or without
the said compromise or arrangement. and the said order directed that E. F .• or failing
him. X.Y.. should
act as chairman of the said meeting and should report the result thereof to this Court.
7. Notice of the meeting was sent individually to the [here mention the class of creditors
or members to
whom the notice was sent] as required by the order together with a copy of the
compromise or arrangement and of the statement required by section 393 and a form
of proxy. The
notice of the meeting was also advertised as directed by the said order in (here set out
8. On the ... 19 , a meeting of (here mention the class of creditors or members whose
was convened) of the company duly convened in accordance with the said order, was
held at... ..... and
the said E.F., acted as the chairman of the meeting.
9. The said E.F., has reported the result of the meeting to this Hon'ble Court.
10. The said meeting was attended by (here set out the number of the class of creditors or members, as
the case may be, who attended the meeting either in person or by proxy), and the total value
of their [here mention debts, debentures or shares, as the case may be] is Rs [in the case of
shares, the total number and value of the shares should be mentioned]. The said compromise or
arrangement was read and explained by the said E.F., to the meeting and it was resolved
unanimously [or by a majority of.. ................. votes against.. votes] as follows:‐
[Here set out the resolution as passed]
11.The sanctioning of the compromise or arrangement will be for the benefit of the company.
12.Notice of this petition need not be served on any person. The
petitioner therefore prays:
(1) That the said compromise or arrangement may be sanctioned by the Court as to be binding on all the
[here set out the class of creditors or members of the company on whom the compromise or
arrangement is to be binding] of the said company and on the said company.
(2) Or such other order may be made in the premises as to the Court shall deem fit.
Petitioner [Note: The affidavit
in support should verify the petition and prove any matters not proved in any prior affidavit, such as
advertisement, holding of meetings. posting of notices, copies of compromise or arrangement and
proxies etc., and should exhibit the report of the chairman and verify the same.]
'To be inserted where the company is being wound‐up.
Note: If the company is being wound‐up, say so.
Note: If any modifications were made in the compromise or arrangement, at the meeting, they should
be set out in separate paragraph.