 Section 407 : Definition  Section 408 : Constitution of National Company Law Tribunal  Section 409 : Qualification of President and Members of Tribunal  Section 410 : Constitution of Appellate Tribunal  Section 411 : Qualification of Chairperson and Members of Appellate Tribunal  Section 412 : Selection of Members of Tribunal and Appellate Tribunal  Section 413 : Term of office of President, Chairperson and other Members  Section 414 : Salary, allowance and other terms and conditions of service of Members

Chairperson means Chairperson of Appellate Tribunal Judicial Member means a member of Tribunal or Appellate Tribunal as the case may be Member means a member whether Judicial or Technical of the Tribunal or Appellate Tribunal as the case may be President means the President of the Tribunal Technical Member means a member of the Tribunal or Appellate Tribunal as the case may be

 Shall consist of President and such Number of Judicial & Technical Members as Central Government deems fit to be appointed by Notification  Powers and Functions to be conferred shall be decided by Central Government

President – Sitting or Ex Judge of High Court for at least 5 years Judicial Member – Sitting or Ex Judge of High Court OR Sitting or Ex Judge of District Court for at least 5 years OR Advocate of a Court for at least 10 years (including the period of member of Judicial Office or Office of Member of a Tribunal or any post under State or Central Government requiring special knowledge of law after he became Advocate ) Technical Member - Member of Indian Corporate Law Service for at least 15 years or Indian Legal Service in the pay scale of Joint Secretary or above OR Company Secretary/ Chartered Accountant /Cost Accountant in practice for at least 15 years OR Any Person of proven ability, integrity and Standing having special knowledge and experience of at least 15 years in law, finance, industrial management or administration, accountancy etc. OR Person who is ex-presiding Officer of a Labour Court, Tribunal or National Tribunal under Industrial Dispute Act

 Maximum No. of Members : 11 including Chairperson, Judicial & Technical Members  Empowered to hear appeals against the Orders of NCLT

 CHAIRPERSON SHALL BE A PERSON WHO IS PRESENT OR EX JUDGE OF SUPREME COURT OR CHIEF JUSTICE OF HIGH COURT  JUDICIAL MEMBER SHALL BE A PERSON WHO IS OR WHO HAS BEEN A JUDGE OF HIGH COURT OR A JUDICIAL MEMBER OF THE TRIBUNAL FOR FIVE YEARS  TECHNICAL MEMBER SHALL BE A PERSON WITH PROVEN ABILITY, GOOD INTEGRITY,STANDING AND EXPERIENCE OF AT LEAST 25 YEARS HAVING SPECIAL KNOWLEDGE IN LAW, FINANCE, MANAGEMENT, ACCOUTANCY, LABOUR MATTERS ETC.

President of Tribunal, Chairperson and Judicial Members of Appellate Tribunal Chairperson to be appointed in consultation with Chief Justice of India Members of Tribunal & Technical Members of NCLAT to be appointed on the basis of recommendation by Selection Committee (consisting of Chief Justice of India or his Nominee, Senior Judge of SC or Chief Selection Committee shall consist of : Chief Justice of India or his Nominee, Senior Judge of SC or Chief Justice of HC, Secretary in MCA, Secretary in Ministry of Law, Ministry of Finance,

 Initial Term of 5 years but can be renewed for next 5 years  Chairperson of Appellate Tribunal :  Till attainment of 70 years  Age Limit :  President of Tribunal : Till attainment of 67 years  Other Members : Till attainment of 65 years  No person shall be appointed as a Member unless he has completed 50 years

 CENTRAL GOVT IS EMPOWERD TO DECIDE NO OF BENCHES BY ISSUING NOTIFICATION  PRINCIPAL BENCH AT NEW DELHI TO BE PRESIDED OVER BY PRESIDNET  EXERCISE OF POWERS BY BENCH CONSISTING OF 2 MEMBERS (JUDICIAL & TECHNICAL)  EXERCISE OF POWERS BY SINGLE JUDICIAL MEMBER (IF AUTHORISED BY PRESIDENT)  CASES OF REHABILITATION, RESTRUCTURING, REVIVAL OR WINDING UP TO BE HANDLED BY SPECIAL BENCH CONSISTING OF 3 OR MORE MEMBERS(shall consist of Majority Judicial Members)

 WITHIN 2 YEARS FROM THE DATE OF ORDER, NCLT MAY RECTIFY MISTAKE APPARENT FROM RECORD AFTER GIVING OPPORTUNITY OF BEING HEARD TO BOTH PARTIES  RECTIFICATION NOT TO BE DONE WHEN APPEAL IS PREFERRED BY ANY OF THE PARTY  RIGHT OF APPEAL WITHIN 45 DAYS FROM THE DATE OF RECEIPT OF CERTIFIED COPY OF ORDER BY THE AGGREIVED PARTY EXCLUDING CASES WEHRE CONSENT ORDERS HAVE BEEN PASSED BY NCLT TO NCLAT

 POWER TO CONDONE DELAY OF APPEAL BEYOND 45 DAYS FOR SUFFICIENT GROUNDS  DISPOSAL OF APPEAL WITHIN 3 MONTHS FROM THE DATE OF PRESENTATION. (S. 422)  RECORDING OF REASONS BY NCLAT FOR NOT DISPOSING APPLICATION/APPEAL BEYOND 3 MONTHS  CHAIRPERSON MAY EXTEND PERIOD OF DISPOSAL UPTO 90 DAYS AFTER REVIEWING RECORDED REASONS

 RIGHT TO APPEAL ON ANY QUSETION OF LAW TO SUPREME COURT WITHIN A PERIOD OF 60 DAYS FROM THE DATE OF RECEIPT OF CERTIFIED COPY OF ORDER FROM NCLAT  SUPREME COURT MAY EXTEND PERIOD OF APPEAL UPTO 60 DAYS ON SUFFICIENT GENUINE GROUNDS  NCLT & NCLAT ARE NOT BOUND BY CIVIL PROCEDURE CODE BUT GUIDED BY PRINCIPLES OF NATUTAL JUSTICE & HAVE POWER TO REGULATE THEIR OWN PROCEDURE

 NCLT & NCLAT ARE VESTED WITH POWERS OF CONTEMPT AT PAR WITH HIGH COURT UNDER CONTEMPT OF COURTS ACT, 1971 (S. 425)  NCLT & NCALT MAY DIRECT BY GENERAL OR SPECIAL ORDER TO ANY OF ITS’ OFFICERS OR EMPLOYEES OR ANY OTHER PERSON TO ENQUIRE IN ANY MATTER CONNECTED WITH PROCEEDINGS (S. 426)  PRESIDENT, MEMBERS, OFFICERS & OTHER EMPLOYEES OF NCLT & NCLAT ARE DEEMED AS PUBLIC SERVANTS U/S 21 OF INDIAN PENAL CODE(S. 427)

 NO CIVIL COURT SHALL HAVE JURISDICTION TO ENTERTAIN ANY MATTER IN RESPECT OF ANY MATTER WHICH NCLT OR NCLAT ARE EMPOWERED TO DETERMINE  RIGHT OF AGGREIVED PARTY TO REPRESENT IN PERSON OR THROUGH COMPANY SECRETARY, CHARTERED ACCOUNTANT, LEGAL PRACTITIONERS OR ANY OTHER PERSON TO PRESENT HIS CASE(S. 431)  PROVISIONS OF LIMITATION ACT 1963 SHALL APPLY TO PROCEEDINGS OR APPEALS BEFORE NCLT AND NCLAT  PENDING MATTERS BEFORE CLB, DISTRICT COURT, HIGH COURT SHALL BE TRANSFERRED TO NCLT

1 POWERS OF HIGH COURT RELATING TO WINDING UP, MERGER, AMALGAMATION,COMPROMISE & ARRANGMENT U/S 391 TO 394 OF THE COMPANIES ACT, 1956 & APPEALS FROM CLB ORDERS 2 POWERS OF BIFR &APPELLATE AUTHORITY FOR INDUSTRICAL & FINANCIAL RECONSTRUCTION (AAIFR) UNDER SICK INDUSTRIAL COMPANIES ACT 1985 RELATING TO REHABILITATION OF SICK COMPANIES 3 POWERS OF COMPAY LAW BOARD VESTED UNDER THE COMPANIES ACT 1956/2013

 CLB HAS NO POWER TO TAKE ACTION FOR CONTMEPT AT PAR WITH HIGH COURT WHICH WILL BE VESTED IN NCLT  OBJECTIVE AND IMPROVED CRITERIA IS PRESCRIBED FOR APPOINTMENT OF PERSONS WITH JUDICIAL BACKGROUND ON NCLT CONTRARY TO CLB  STIPULATION OF TIME LIMIT FOR DISPOSAL OF APPEALS BY NCLAT UNLIKE EXISTING SYSTEM

THANK YOU Prepared by : A.M.Antarkar & Co. Company Secretaries