With reference to the National Company Law Tribunal (NCLT), consider the following statements: 1. It handles criminal cases related to companies. 2. It is a regulatory body responsible for overseeing compliance with industry standards and enforcing legal regulations. 3. Its decisions can be appealed to the National Company Law Appellate Tribunal (NCLAT). How many of the statements given above are correct? |ForumIAS

Q. With reference to the National Company Law Tribunal (NCLT), consider the following statements:
1.It handles criminal cases related to companies.
2.It is a regulatory body responsible for overseeing compliance with industry standards and enforcing legal regulations.
3.Its decisions can be appealed to the National Company Law Appellate Tribunal (NCLAT).
How many of the statements given above are correct?

[A] Only one

[B] Only two

[C] All three

[D] None

Answer: A

Notes:

Explanation –

Statements 1 and 2 are incorrect. The NCLT is a quasi-judicial body that deals with civil matters related to company law, such as insolvency, mergers, and disputes. It does not handle criminal cases. It is not a regulatory body like the Securities and Exchange Board of India (SEBI) or the Reserve Bank of India (RBI). Instead, it functions as a tribunal to resolve disputes and issues related to company law.

Statement 3 is correct. The NCLT decisions can be appealed to the National Company Law Appellate Tribunal (NCLAT). The NCLAT serves as the appellate body for decisions made by the NCLT.

Source: The Hindu

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