Winding up is the process of liquidating the assets of a company, firm, or other legal body, followed by payment to creditors and distribution and issuance of assets to partners or shareholders once the entity is dissolved. Winding up is usually done when the tribunal orders it or when the creditors or members decide on it. A firm or business may be wound up for a variety of reasons, including insolvency or bankruptcy, promoter death, or mutual consent among stakeholders.

The procedure of winding up is a legal process. As a result, dissolution is initiated once the company's operations and affairs have been completed. The application for dissolution must be made to the Tribunal by the Company Liquidator. The Tribunal issues the order for dissolution in accordance with the application or when it deems it is just and reasonable.
The corporation is dissolved by settling all debts or liabilities, collecting dissolution of its assets, and returning other significant goods to creditors and, if any contributions have been made by the members, they are also returned. As a result, winding up can be defined as the process of bringing a company's life to an end. If the corporation has any excess of funds, it is divided among the shareholders according to their rights. It's also known as liquidation.
According to Section 2(94A) of the Companies Act, 2013 or Insolvency and Bankruptcy Code, 2016, “Winding up” means winding up under this Act or liquidation under the Insolvency and Bankruptcy Code, 2016, as applicable.” Chapter XX Sections 270–378 of the Companies Act, 2013 deals with winding up and other aspects of it.
A company is formed when it is registered with the Registrar of Companies (ROC) and receives the ROC's certificate of incorporation. It will exist even if the court or debenture holder appoints a receiver or management, or if the court approves a scheme of arrangement.
When a corporation completes two steps, the first is winding up, and the second is dissolution, the company ceases to exist. There are two main methods for winding up:

1. Compulsory winding up
2. Voluntary winding up

COMPULSORY WINDING UP

When a corporation becomes insolvent or bankrupt, it is forced to wind up. Compulsory winding up of a company occurs when the firm is ordered to be wound up by a court or tribunal. If the firm goes into liquidation, a liquidator is appointed by the court to complete the process. The Tribunal can wind up a company under Section 270 of the Companies Act, 2013.

VOLUNTARY WINDING UP

It is divided in two parts-

1. Members’ Voluntary Winding Up
2. Creditors’ Voluntary Winding Up

1. Members’ Voluntary Winding Up

When a firm is solvent, it can be wound up in this way. At the Board of Directors meeting, the corporation must certify its solvency. This declaration must persuade the directors that the firm has no loans or debts, or that the corporation will pay off all debts within three years of being wound up.
A general meeting is held, at which a liquidator is appointed and remuneration is determined. Until and unless a General Meeting decides otherwise, all powers of the board, Managing Director, or Manager cease to exist with his appointment. The liquidator must hold a general meeting once a year to set out the method for winding up the company and to lay out his dealings.

2. Creditors’ Voluntary Winding Up

When the firm makes a declaration of solvency but the company is insolvent, this sort of winding up occurs. As a result, it gives the company's creditors control over the members, preventing them from protesting. It mandates that the company conduct a meeting with creditors and the board of directors and present a thorough explanation of the company's affairs, including a detailed list of creditors and their estimated claims.

The notion of give and take drives the concept of CSR. As corporate organisations use important resources from society in the form of raw materials, human resources, and other resources for their operations, they should function as trustees of the society and must provide something to the society's well-being. CSR is a word that is commonly used to describe the business world's duties to society and the environment. While the term CSR is not new in the corporate world, its scope and meaning have evolved significantly from its original definition as a purely voluntary philanthropic action in comparison to the corporate's responsibility to the outside world.

The Government of India has adopted the concept of CSR in the new Companies Act 2013 with the goal of encouraging more corporate organizations to contribute to the process of societal development through CSR. The Government of India issued guidelines for CSR spending on February 27, 2014[1], under Section 135 of the Companies Act, 2013, and Schedule VII[2] of the Companies Act, as well as the provisions of the Companies (Corporate Social Responsibility Policy) Rules, 2014 (CSR Rules), which took effect on April 1, 2014.