NCLAT adjudicated 69% of cases filed during pandemic
Union minister of Finance and Corporate Affairs Nirmal Sitharaman Minister commended the role the National Company Law Tribunal (NCLT) and National Company Appellate Tribunal (NCLAT) in ironing out the issues in the countries insolvency law.
The Finance Minister was speaking at the inauguration of the Chennai Bench of NCLAT through virtual mode. She also appreciated the efforts of the two tribunals in disposing cases during the pandemic.
At the NCLAT even during the period of lockdown, nearly 69% of cases were adjudicated during this time between March 2020 and December 2020, informed the minister. As many as 985 cases were filed and 681 cases were heard and disposed of during the pandemic.
The Finance Minister observed that a large part of the Insolvency Law’s evolution can be credited to the development of jurisprudence which happens under the very able guidance of our judicial and quasi-judicial institutions.
She further said that out of around 5,600 cases filed before the NCLAT as of December 2020, approximately 3,800 cases pertaining to IBC matters have been handled. Also, out of the total matters filed before the NCLAT, 4200 matters have been disposed of, indicating a disposal rate of 75%.
She reiterated the government’s commitment in ensuring speedy and cost-effective delivery of justice and ease of doing business in India.
On the new NCLAT bench, Nirmala Sitharaman said that new Chennai bench will give a major relief to the companies and litigants in southern states, who faced great difficulty in travelling to Delhi for work pertaining to filing and arguing of appeals in the NCLAT.
“This will reduce the pendency of cases, shorten the period of process and shall result in speedier disposal of the cases,” she said.
The Finance Minister stated that along with the Supreme Court as the apex forum, the NCLAT and the NCLTs have done a commendable job in ironing out the issues and difficulties faced in implementing the new law.
Also read: Chennai bench of NCLAT to start working in virtual mode from 25 Jan 2021
The inaugural ceremony was held in presence of Acting Chairperson of NCLAT Justice Bansi Lal Bhat, Secretary, Ministry of Corporate Affairs, Rajesh Verma, other members of NCLAT and NCLT, officers of Ministry of Corporate Affairs, Ministry of Finance as well as members of the bar.
The Chennai Bench will have jurisdiction to hear the appeals arising out of the orders passed by the benches of NCLT having jurisdiction of Karnataka, Tamil Nadu, Kerala, Andhra Pradesh, Lakshwadeep and Puducherry. Two members of New Delhi bench of the appellate tribunal — Balvinder Singh, Member (Technical) and Justice Venugopal M — have taken charge of the newly constituted Chennai Bench of the NCLAT.
