Seneviratne v. Seneviratne – sllr 1980 volume 2 page 086

In the case between Eardley Seneviratne (and Cedric Seneviratne) and Trevor Seneviratne, the court addressed whether the winding-up of Kadirana Mills Limited was justified due to a shareholder deadlock and whether a mandatory transfer of shares to one shareholder was an appropriate alternative remedy. It was held that winding-up was not warranted because the statutory scheme under the Companies Ordinance, as amended by Act No. 15 of 1964, provided for alternative relief in cases of oppression, mismanagement, or deadlock. The principle reaffirmed was that company dissolution by winding-up is a remedy of last resort, and the courts possess broad discretion to make orders to remedy deadlock while preserving corporate existence. The decision relied on statutory interpretation of sections 29, 1