When there is mutually agreed Arbitration Clause, normally Company Proceedings is not an Appropriate Remedy [Case Law]
A. Companies Act, 1956 - S. 434 (1) - In order to raise presumption u/s 434(1) of the Companies Act, 1956 as a company’s inability to pay its debt, it is not sufficient to show merely that the company has omitted to pay debt due despite service of notice, it must be shown that company has omitted to pay without reasonable excuse.