National Company Law Tribunal (NCLT)

About NCLT: 

• What is it? It is a quasi-judicial authority incorporated for dealing with corporate disputes that are of civil nature arising under the Companies Act,2013.
• Established: It was constituted on 1 June 2016 under the Companies Act,2013.
• Committee: NCLT was formed based on the recommendation of the V. Balakrishna Eradi committee on law relating to the insolvency and the winding up of companies.
• Composition: The NCLT shall consist of a President and such number of Judicial and Technical Members as may be required.
• Powers: 
• It is not limited or bound by the rules laid down in the Code of Civil Procedure and is guided by the principles of natural justice, subject to the other provisions of this Act and of any rules that are made by the Central Government. 
• The NCLT can enforce any order that it gives in the same manner as a court would enforce it.
• NCLT has the power to scrutinize its own orders.
• The tribunal has the power to regulate their own procedure.
• National Company Law Tribunal is the adjudicating authority for the insolvency resolution process of companies and limited liability partnerships under the Insolvency and Bankruptcy Code, 2016.

 

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Q1) What is Insolvency and Bankruptcy Code, 2016?

Insolvency and Bankruptcy Code 2016 was implemented through an act of Parliament. IBC applies to companies, partnerships and individuals. It provides for a time-bound process to resolve insolvency.

Source: NCLT allows ownership transfer of Jet Airways to Jalan-Kalrock consortium