Anitex Washing Plants (Pvt.) Ltd. v. G. D. S. Chemicals (Pvt.) Ltd. And Another – SLR – 21, Vol 3 of 2005 – sllr 2005 volume 3 page 021

In the matter of ANITEX WASHING PLANTS (PVT) LTD v. G. D. S. CHEMICALS (PVT) LTD and another, the central issue involved the applicability of the Prescription Ordinance to winding up proceedings based on non-payment of a debt. It was held that a winding up petition, when premised on a debt, is subject to the same statutory time bar as ordinary debt recovery actions. The decision reaffirmed the principle that no liability may attach to a prescribed (statute-barred) debt, even in the context of company winding up applications. Reliance was placed on judicial precedents such as Re. Karnes Property Co. Ltd., In re Fleetwood, and In re Art Reproduction Co. Ltd., and relevant statutory provisions, emphasizing that a winding up proceeding does not allow payment of claims barred by limitation. The