New Delhi: The National Company Law Appellate Tribunal (NCLAT) has got down to a rot, Chief Justice of India DY Chandrachud observed on Wednesday, issuing contempt notices to judicial member Rakesh Kumar and technical member Alok Shrivastava in connection with the Finolex Cables case. Asking why shouldn't the apex court initiate contempt proceedings against them, he ordered them to appear in person on October 30.
"I am not talking about Justice Ashok Bhushan (NCLAT chairperson). He is one of the most dignified judges I know... but NCLT and NCLAT have got down to a rot now. This case is an illustration of that rot," he said, reported Live Law.
"We are prima facie of the view that the members of the NCLAT have failed to disclose correct facts," the court added, per a PTI report.
The court also set aside the NCLAT bench's October 13 judgment ordering the company to release the annual general meeting (AGM) figures.
The bench, also comprising Justices JB Pardiwala and Manoj Misra, ruled the case will now be heard by justice Ashok Bhushan.
On October 13, the Supreme Court had directed the NCLAT to announce its judgment and declare the results of the AGM Meeting only after receiving the scrutiniser's report.
The court's order was uploaded at 1.55 pm and the lawyer also informed the development to the NCLAT bench, which was to deliver the verdict at 2 pm. The two-member bench of the NCLAT, however, pronounced the order before the scrutiniser's report was uploaded -- at 2:40 pm.
{{/usCountry}}The court's order was uploaded at 1.55 pm and the lawyer also informed the development to the NCLAT bench, which was to deliver the verdict at 2 pm. The two-member bench of the NCLAT, however, pronounced the order before the scrutiniser's report was uploaded -- at 2:40 pm.
{{/usCountry}}On Friday, the Supreme Court directed the NCLAT chairperson to hold a probe and submit a report on Monday. It also suspended the judgment.
The bench today said it was necessary to pass orders to ensure that the dignity of the Supreme Court was restored.
"Parties cannot be allowed by recourse to devious means to obviate this court's orders," the bench added.
The Supreme Court also said the manner in which the NCLAT had passed the order was "unbecoming of a tribunal".
The bench also observed that Kumar and Srivastava were prima facie guilty of "falsehood", reported Bar and Bench.
The NCLAT order was linked to the annual general meeting of Finolex Cables. There is an ongoing dispute between Prakash Chhabria and Deepak Chhabria over control of the company.
With inputs from PTI