National Company Law Tribunal (NCLT)
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News: Recently, the National Company Law Tribunal (NCLT) ordered the liquidation of budget carrier Go First. It potentially brings an end to the airline and its 20-month-long insolvency proceedings.

About National Company Law Tribunal (NCLT)

  • It is a quasi-judicial body established to handle civil corporate disputes. 
  • It was established on 1st June 2016 under the Companies Act, 2013. 
  • Objective– The main goal of NCLT is to offer a specialized forum for resolving disputes related to company law and the Insolvency and Bankruptcy Code, 2016 (IBC). 
  • Genesis– It was established based on the Balakrishna Eradi Committee’s recommendations on insolvency and company winding-up laws. 
  • Composition:  
    • It shall consist of a President and such number of Judicial and Technical Members as may be required. 
    • The Central Government appoints these members based on their expertise in fields like law, finance, accountancy, management, and administration. 
  • Structure- The NCLT has a principal bench in New Delhi and other benches in cities such as Ahmedabad, Bengaluru, Chennai, and Kolkata. 
  • Powers:  
    • It is not bound by the Code of Civil Procedure (CPC) and follows principles of natural justice, and the rules set by the Act and the Central Government. 
    • It can enforce orders with the same authority as a court. 
    • It can review its own decisions. 
    • It can regulate its own procedures. 
    • It handles insolvency resolution for companies and LLPs under the Insolvency and Bankruptcy Code, 2016. 
  • Appeal-Decisions of the NCLT may be appealed to the National Company Law Appellate Tribunal (NCLAT), the decisions of which may further be appealed to the Supreme Court of India. 

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