GST Helpdesk   Subscription   Demo   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Extracts
Home List
← Previous Next →

VALIDITY OF CONSTITUTION OF NATIONAL COMPANY LAW TRIBUNAL AND NATIONAL COMPANY LAW APPELLATE TRIBUNAL

Corporate Laws / Banking / SEBI / LLP - By: - Mr. M. GOVINDARAJAN - Dated:- 19-5-2015 - In V.R. Gandhi, President, Madras Bar Association V. Union of India 2004 (3) TMI 423 - HIGH COURT OF MADRAS, decided on 30.03.2004 the Madras High Court in its judgment held that the creation of National Company Law Tribunal and National Company Law Appellate Tribunal and vesting the powers hitherto exercised by the High Court and Company Law Board in the said Tribunal was constitutional. The High Court point .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

the appeal filed before the Supreme Court by both parties, the Supreme Court held that the constitution of NCLT and NCLAT is valid and agreed with the findings of Madras High Court to remove the various defects in the provisions. The defects that are to be removed by the Government, as recommended by the Court are as follows: Only Judges and Advocates can be the Judicial Member. The Judge should have served in the rank of District Judge for at least 5 years; if Advocate he has been in practice .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

inance, industrial management, industrial reconstruction, investment and accountancy may be considered for the appointment as technical members; The Section Committee should contain- Chief Justice of India or his nominee - Chairperson (with a casting vote); A senior Judge of the Supreme Court or Chief Justice of High Court - Member; Secretary in the Ministry of Finance and Commerce - Member; and Secretary in the Ministry of Law and Justice - Member. The tenure shall be 7 years of 5 years i .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

visions for the constitution of NCLT and NCLAT; the qualifications and tenure of the members; constitution of selection committee for the selection of members. The Madras Bar Association challenged the provisions relating to the constitution of NCLT, NCLAT, qualification, selection committee etc., before the Supreme Court in WP 1072/2013. The petitioners contended that the provisions in the new Act in regard to the above are in analogous to the provisions of Section 10FD, 10FE, 10FF, 10FL, 10FR .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

onstitution of India and are liable to be struck down. The petitioners are also questioned the validity of Sections 415, 418, 424, 426. The Supreme Court categorized the challenges of the petitioners into three as detailed below: Challenge to the validity of the constitution of NCLT and NCLAT; Challenge to the prescription of qualifications including the term of their office and salary, allowances etc., of President and members of the NCLT as well as the Chairperson and members of NCLAT; Chal .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ives powers to the Central Government for the constitution of National Company Law Appellate Tribunal which will consist of a Chairperson and such other number of Judicial and Technical Members not exceeding 11 to be appointed by notification. The Supreme Court pointed out that in its judgment in 2010 clearly upheld the validity of the constitution of NCLT and NCLAT after elaborate discussions in various issues raised by the petitioner. The said judgment is binding on every one. The Supreme Cour .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ty and also pointed out the corrections which were required to be made to remove the anomalies. The Supreme Court after analyzing the provisions contained in the new Act held that the provisions are clearly in the teeth of dicta pronounced in 2010 judgment. The Government pointed out the various reasons for limiting the consideration of the requirements of the 2010 judgment. The Supreme Court held that there was one very compelling reason in the mind of the court viz., gradual erosion of indepen .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version