What is The National Company Law Tribunal (NCLT)?

The National Company Law Tribunal (NCLT) was established under the Companies Act of 2013, the NCLT serves as a quasi-judicial body dealing with a spectrum of issues related to corporates. Formed in 2016, it plays a pivotal role in the resolution of corporate disputes and insolvency matters.

Legal matters within the NCLT involve strategic planning to deal with complex cases. This encompasses filing petitions, representation before the authorities, devising restructuring strategies, handling matters of insolvency and bankruptcy proceedings and many more.

Know what are the Functions of NCLT ?

1. Company Registration and Incorporation:

NCLT has the authority to scrutinize the legitimacy of company registrations, questioning and, if necessary, cancelling the registration of a company during the incorporation process.

2. Transfer of Shares:

Grievances related to transferring shares and securities fall under the purview of NCLT, acting as an adjudicator in matters pertaining to share transfers.

3. Deposits:

In cases of deposit-related issues, depositors have recourse to approach the NCLT to seek remedies for omissions or discrepancies.

4. Power to Investigate:

The tribunal possesses the authority to order investigations into the affairs of companies, ensuring a thorough examination when necessary.

5. Freezing Company Assets:

NCLT can freeze a company’s assets, utilizing this power during investigations into the company’s conduct & preserving assets for potential future actions.

6. Conversion of Company Type:

Any decision to convert a public limited company into a private limited company requires approval from the NCLT, overseeing and regulating the process of such conversions.

7. Reviving a Striked-off Company:

Its in NCLT’s purview to hear the arguments of the company and to decide whether reviving a company is warranted by law.

What is the role of National Company Law Appellate Tribunal (NCLAT)?

Serving as an intermediate Appellate Authority. Dissatisfied parties have the right to appeal before the Appellate Tribunal against the orders of NCLT. NCLAT may review, set aside, modify, or affirm decisions made by the NCLT.

What is the Role of Company Law Consultants?

1. Compliance With Regulatory Bodies:

Corporate law consultants play a proactive role in ensuring compliance with regulatory bodies. They stay updated on legislative changes, facilitate proper documentation, and implement practices aligned with the evolving requirements of regulatory authorities.

2. Representation Before Regulatory Authorities:

Corporate law consultants act as strategic liaisons between businesses and regulatory bodies, ensuring compliance with legal standards during interactions. Corporate law consultants provide indispensable legal guidance to businesses engaged in various activities. Their role encompasses advising on transactions, contracts, and day-to-day operations, contributing to effective navigation of the legal landscape.

3. Corporate Governance and NCLT:

Corporate governance is foundational to a well-functioning business. Legal professionals play a crucial role in advising on corporate governance principles, ensuring compliance with regulations, and representing businesses in matters related to corporate governance before the NCLT.

What all to Know while filing Petition, Appeal or Documentation in NCLT?

A brief outline of the procedure, as specified in Rule 20 of NCLT Rules, 2016 and Rule 19 of NCLAT Rules, 2016 is as follows:

1. Language and Format:

All documents (appeals, petitions, etc.) submitted to the Tribunal must be in English. Documents should be well-presented, typed, or printed on one side of standard petition paper with specific margins.

2. Title and Information:

The document’s title should be “Before the National Company Law Tribunal.” Or “Before the National Company Law Appellate Tribunal” as the case may be. It should mention the specific Bench and details about the authority or order being challenged.

3. Organization:

The document should be divided into numbered paragraphs. Each paragraph should focus on a separate fact, allegation, or point.

4. Date Clarification:

If Saka or other non-Gregorian dates are used, corresponding Gregorian Calendar dates must also be provided.

5. Party Details:

Full names, parentage, age, and addresses of involved parties should be provided at the beginning. If a party represents others, this information need not be repeated later.

6. Numbering of Parties:

Parties should be assigned consecutive numbers, and each party’s details should have a separate line.

7. Consistent Party Numbers:

Party numbers should remain constant throughout the proceedings. In case of a party’s death, their legal heirs or representatives should be indicated by sub-numbers.

8. New Parties:

If new parties are introduced, they should be numbered consecutively within their respective categories.

9. Legal Basis:

Each document should immediately state the relevant law under which it is filed.

In conclusion, effective corporate law consultancy involves a multifaceted approach encompassing legal advocacy, regulatory compliance, and appropriate strategic maneuvers in forums like the NCLT.

Master Brains India is the home to the most seasoned and adept Company Law Consultants. Our qualified professionals are well-versed in representing clients before NCLT/ NCLAT/ High Court, offering comprehensive solutions for all Company Law Matters.

However, our proactive approach goes beyond litigation. As your trusted Company Law Consultant, we take the lead in ensuring your company’s adherence to all compliances, both minor and major. We analyse your business model/transaction for Company Law applicability, review its appropriateness to suggest better compliance practices and improvement measures.

To talk to our Company Law Consultant, DM us, call/WhatsApp us at +91-8595867402, or send your inquiries to www.masterbrains.co.in