National Company Law Tribunal
16th January, 2023 Economy
Disclaimer: Copyright infringement not intended.
- NCLT division bench will hear Reliance Capital case on January 16.
- The National Company Law Tribunalis a quasi-judicial body in India that adjudicates issues relating to Indian companies.
- The tribunal was established under the Companies Act 2013and was constituted on 1 June 2016 by the government of India.
- It is based on the recommendation of the Balakrishna Eradicommittee on law relating to the insolvency and the winding up of companies.
- All proceedings under the Companies Act, including proceedings relating to arbitration, compromise, arrangements, reconstructions and the winding up of companies shall be disposed off by the National Company Law Tribunal. The NCLT bench is chaired by a Judicial member who is supposed to be a retired or a serving High Court Judge and a Technical member who must be from the Indian Corporate Law Service, ICLS Cadre.
- The National Company Law Tribunal is the adjudicating authority for the insolvencyresolution process of companies and limited liability partnerships under the Insolvency and Bankruptcy Code, 2016.
- The National Company Law Tribunal has the power under the Companies Act to adjudicate proceedings:
- Initiated before the Company Law Board under the previous act (the Companies Act 1956);
- Pending before the Board for Industrial and Financial Reconstruction, including those pending under the Sick Industrial Companies (Special Provisions) Act, 1985;
- Pending before the Appellate Authority for Industrial and Financial Reconstruction; and
- Pertaining to claims of oppression and mismanagement of a company, winding up of companies and all other powers prescribed under the Companies Act.
- Decisions of the tribunal may be appealed to the National Company Law Appellate Tribunal, the decisions of which may further be appealed to the Supreme Court of India on a point of law.
- The Supreme Court of India has upheld the Insolvency and Bankruptcy Code in its entirety.