Companies Act Section 419 — Benches of Tribunal
CHAPTER XXVII NATIONAL COMPANY LAW TRIBUNAL AND APPELLATE TRIBUNAL
Commercial / Corporate
Summary
Sub-section (1) says that the Central Government will decide, through a formal notification, how many Benches (sittings or divisions) of the Tribunal will be set up.
Sub-section (2) states that the main or principal Bench of the Tribunal will be located in New Delhi, and it will be headed by the President of the Tribunal.
Sub-section (3) explains that the Tribunal's powers are normally exercised by a Bench made up of two Members, one being a Judicial Member and the other a Technical Member. The first proviso to this sub-section allows certain authorised Members to sit as a single Judicial Member Bench, but only for the types of cases or matters that the President specifies through a general or special order. The second proviso says that if, during the hearing of such a case, the single Member feels the matter should be heard by a two-Member Bench, the case may be transferred by the President, or referred to the President for transfer, to a Bench the President considers suitable.
Sub-section (4) says that the Central Government will, by notification, set up as many Benches of the Tribunal as it thinks necessary to exercise the jurisdiction, powers and authority of the Adjudicating Authority that the Tribunal has been given under Part II of the Insolvency and Bankruptcy Code, 2016.
Sub-section (5) deals with disagreements among Members of a Bench. If the Members differ on any point, the point is decided by majority opinion if there is a majority. If the Members are equally divided, they must state the points on which they differ, and the President will refer the case for hearing on those points by one or more other Members of the Tribunal. The final decision on those points is then made according to the opinion of the majority of all Members who heard the case, including those who first heard it.
Official Text
(1) There shall be constituted such number of Benches of the Tribunal, as may, by notification, be specified by the Central Government.
(2) The Principal Bench of the Tribunal shall be at New Delhi which shall be presided over by the President of the Tribunal.
(3) The powers of the Tribunal shall be exercisable by Benches consisting of two Members out of whom one shall be a Judicial Member and the other shall be a Technical Member:
Provided that it shall be competent for the Members of the Tribunal authorised in this behalf to function as a Bench consisting of a single Judicial Member and exercise the powers of the Tribunal in respect of such class of cases or such matters pertaining to such class of cases, as the President may, by general or special order, specify:
Provided further that if at any stage of the hearing of any such case or matter, it appears to the Member that the case or matter is of such a nature that it ought to be heard by a Bench consisting of two Members, the case or matter may be transferred by the President, or, as the case may be, referred to him for transfer, to such Bench as the President may deem fit. 1[
(4) The Central Government shall, by notification, establish such number of benches of the Tribunal, as it may consider necessary, to exercise the jurisdiction, powers and authority of the Adjudicating Authority conferred on such Tribunal by or under Part II of the Insolvency and Bankruptcy Code, 2016 (31 of 2016).]
(5) If the Members of a Bench differ in opinion on any point or points, it shall be decided according to the majority, if there is a majority, but if the Members are equally divided, they shall state the point or points on which they differ, and the case shall be referred by the President for hearing on such point or points by one or more of the other Members of the Tribunal and such point or points shall be decided according to the opinion of the majority of Members who have heard the case, including those who first heard it.