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The National Company Law Tribunal, Principal Bench has directed that Secretary, Ministry of Corporate Affairs, Government of India shall be made a party to all the cases under the Insolvency & Bankruptcy Code as well as the Company petitions before the Tribunals.
The direction is applicable not only to the Principal Bench at New Delhi but all the Benches of the National Company Law Tribunal in India.
The Deputy Registrars of all National Company Law Tribunals have been directed to ensure that the order is complied with.
The NCLT has stated that making the Ministry of Corporate Affairs as a party would facilitate the availability of authentic record for the proper appreciation of the matters being contested before it.
The order passed by a two-member Bench of President, Chief Justice (Retd.) MM Kumar and Member (Technical) SK Mohapatra reads,
“We further direct that in all cases of Insolvency & Bankruptcy Code and Company Petition, the Union of India, Ministry of Corporate Affairs through the Secretary be impleaded as a party respondent so that authentic record is made available by the officers of the Ministry of Corporate Affairs for proper appreciation of the matters.
This shall be applicable throughout the country to all the benches of the National Company Law Tribunal. The Registrar shall send a copy of this order to all NCLT benches so that respective Deputy Registrar may ensure that proper parties are impleaded.”
The order was passed by the Bench while hearing a Section 7 IBC application filed by Oriental Bank of Commerce against M/s Sikka Papers Ltd & Ors.
Read the Order: