The National Company Law Tribunal is a

quasi-judicial body A quasi-judicial body is non-judicial body which can interpret law. It is an entity such as an arbitration panel or tribunal board, that can be a public administrative agency but also a contract- or private law entity, which has been ...

in India that adjudicates issues relating to

Indian companies India is a country in South Asia. It is the List of sovereign states and dependencies by area, seventh-largest country by area, the List of countries by population, second-most populous country (with over Demographics of India, 1.2 billion peo ...

. The tribunal was established under the

Companies Act 2013 The Companies Act 2013 is an Act of the Parliament of India on Indian company law which regulates incorporation of a company, responsibilities of a company, directors, dissolution of a company. The 2013 Act is divided into 29 chapters containin ...

and was constituted on 1 June 2016 by the government of India and is based on the recommendation of the V. Balakrishna Eradi committee on law relating to the insolvency and the winding up of companies. All proceedings under the Companies Act, including proceedings relating to arbitration,

compromise To compromise is to make a deal between different parties where each party gives up part of their demand. In arguments, compromise is a concept of finding agreement through communication, through a mutual acceptance of terms—often involving va ...

, 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

insolvency In accounting, insolvency is the state of being unable to pay the debts, by a person or company ( debtor), at maturity; those in a state of insolvency are said to be ''insolvent''. There are two forms: cash-flow insolvency and balance-sheet ...

resolution process of companies and

limited liability partnership A limited liability partnership (LLP) is a partnership in which some or all partners (depending on the jurisdiction) have limited liabilities. It therefore can exhibit elements of partnerships and corporations. In an LLP, each partner is not ...

s under the Insolvency and Bankruptcy Code, 2016. No criminal court shall have

jurisdiction Jurisdiction (from Latin 'law' + 'declaration') is the legal term for the legal authority granted to a legal entity to enact justice. In federations like the United States, areas of jurisdiction apply to local, state, and federal levels. J ...

to entertain any suit or proceeding in respect of any matter which the Tribunal or the Appellate Tribunal is empowered to determine by or under this Act or any other law for the time being in force and no injunction shall be granted by any court or other authority in respect of any action taken or to be taken in pursuance of any power conferred by or under this Act or any other law for the time being in force, by the Tribunal or the Appellate Tribunal. The tribunal has sixteen benches, six at

New Delhi New Delhi (, , ''Naī Dillī'') is the capital of India and a part of the National Capital Territory of Delhi (NCT). New Delhi is the seat of all three branches of the government of India, hosting the Rashtrapati Bhavan, Parliament Ho ...

(one being the principal bench) and two at Ahmedabad, one at

Prayagraj Allahabad (), officially known as Prayagraj, also known as Ilahabad, is a metropolis in the Indian state of Uttar Pradesh.The other five cities were: Agra, Kanpur (Cawnpore), Lucknow, Meerut, and Varanasi (Benares). It is the administrat ...

, one at Bengaluru, one at

Chandigarh Chandigarh () is a planned city in India. Chandigarh is bordered by the state of Punjab to the west and the south, and by the state of Haryana to the east. It constitutes the bulk of the Chandigarh Capital Region or Greater Chandigarh, which a ...

, two at

Chennai Chennai (, ), formerly known as Madras ( the official name until 1996), is the capital city of Tamil Nadu, the southernmost Indian state. The largest city of the state in area and population, Chennai is located on the Coromandel Coast of th ...

, one at Cuttack, one at

Guwahati Guwahati (, ; formerly rendered Gauhati, ) is the biggest city of the Indian state of Assam and also the largest metropolis in northeastern India. Dispur, the capital of Assam, is in the circuit city region located within Guwahati and is the ...

, three at

Hyderabad Hyderabad ( ; , ) is the capital and largest city of the Indian state of Telangana and the ''de jure'' capital of Andhra Pradesh. It occupies on the Deccan Plateau along the banks of the Musi River, in the northern part of Southern India ...

of which one is at

Amaravati Amaravati () is the capital of the Indian state of Andhra Pradesh. It is located on the banks of the river Krishna in Guntur district. The Prime Minister of India, Narendra Modi laid the foundation stone at a ceremonial event in Uddandara ...

, one at

Jaipur Jaipur (; Hindi: ''Jayapura''), formerly Jeypore, is the capital and largest city of the Indian state of Rajasthan. , the city had a population of 3.1 million, making it the tenth most populous city in the country. Jaipur is also known ...

, one at

Kochi Kochi (), also known as Cochin ( ) ( the official name until 1996) is a major port city on the Malabar Coast of India bordering the Laccadive Sea, which is a part of the Arabian Sea. It is part of the district of Ernakulam in the state of K ...

, two at

Kolkata Kolkata (, or , ; also known as Calcutta , the official name until 2001) is the capital of the Indian state of West Bengal, on the eastern bank of the Hooghly River west of the border with Bangladesh. It is the primary business, comme ...

and five at

Mumbai Mumbai (, ; also known as Bombay — List of renamed Indian cities and states#Maharashtra, the official name until 1995) is the capital city of the Indian States and union territories of India, state of Maharashtra and the ''de facto'' fin ...

. Of the two new benches approved to be set up, one each in

Indore Indore () is the largest and most populous city in the Indian state of Madhya Pradesh. It serves as the headquarters of both Indore District and Indore Division. It is also considered as an education hub of the state and is the only city to ...

and

, the Indore bench is yet to be notified. Except the Bench at Amaravati, all the benches have been notified as division benches. Justice M.M. Kumar, a retired Chief Justice of the Jammu & Kashmir High Court has been appointed president of the tribunal. 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 The Companies Act 1956 was an Act of the Parliament of India, enacted in 1956, which enabled companies to be formed by registration, and set out the responsibilities of companies, their directors and secretaries. It was repealed and replaced b ...

); # Pending before the

Board for Industrial and Financial Reconstruction The Board for Industrial and Financial Reconstruction (BIFR) was a development finance institution under the ownership of Ministry of Finance, Government of India, part of the Department of Financial Services of the Ministry of Finance. Set up i ...

, 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.

Appeals

Decisions of the tribunal may be appealed to the

National Company Law Appellate Tribunal The National Company Law Appellate Tribunal (NCLAT) is a tribunal which was formed by the Central Government of India under Section 410 of the Companies Act, 2013. The NCLAT was formed as a body with an appellate jurisdiction at the same time wh ...

, 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.

References

External links

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National Company Law Tribunal
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