law: Sick Industrial Companies (Special Provisions) Act, 1985
  20. Winding up of sick industrial company 
   25  [(1) Where the Board, after making inquiry under section
  
  16 and after consideration of all the relevant facts and circumstances and
  
  after giving an opportunity of being heard to all concerned parties, is of
  
  opinion that the sick industrial company is not likely to make its net worth
  
  exceed the accumulated losses within a reasonable time while meeting all its
  
  financial obligations and that the company as a result thereof is not likely to
  
  become viable in future and that it is just and equitable that the company
  
  should be wound up, it may record and forward its opinion to the concerned High
  
  Court.]
  (2) The High Court shall, on the basis of the opinion of the
  
  Board, order winding up of the sick industrial company and may proceed and
  
  cause to proceed with the winding up of the sick industrial company in
  
  accordance with the provisions of the Companies Act, 1956.
  (3) For the purpose of winding up of the sick industrial
  
  company, the High Court may appoint any officer of the operating agency, if the
  
  operating agency gives its consent, as the liquidator of the sick industrial
  
  company and the officer so appointed shall for the purpose of the winding up of
  
  the sick industrial company be deemed to be, and have all the powers of, the
  
  official liquidator, under the Companies Act, 1956.
  (4) Notwithstanding anything contained in sub-section (2) or
  
  sub-section (3), the Board may cause to be sold the assets of the sick
  
  industrial company in such manner as it may deem fit and forward the sale
  
  proceeds to the High Court for orders for distribution in accordance with the
  
  provisions of section 529A, and other provisions of the Companies Act, 1956.