Kolkata: A Calcutta High Court Division Bench has dismissed an appeal challenging a single bench judgement relating to shifting of the National Company Law Tribunal (NCLT), Kolkata Bench, to Corporate Bhawan, New Town.
The Division Bench of Justice Rajarshi Bharadwaj and Justice Apurba Sinha Ray was moved by the NCLT Advocates Bar Association, alleging that such a shift to New Town undermines judicial independence and violated constitutional mandates. The appellants argued that the Ministry of Corporate Affairs’ (MCA) decision to shift the NCLT to a premises housing executive offices such as, the Registrar of Companies and Serious Fraud Investigation Office, contravened the doctrine of separation of powers under Article 50 of the Constitution.
They cited Supreme Court rulings which mandate tribunals’ independence from executive control and administrative support from the Ministry of Law and Justice. The appellants further contended that the single judge overlooked these precedents and mischaracterised their grievance as mere inconvenience due to distance, when the core issue was the erosion of judicial autonomy. The respondents countered that the appellants lacked locus standi, as no fundamental rights were violated, and the relocation was a policy decision within the executive’s domain. They argued the writ petition was contradictory, simultaneously seeking NCLT’s continuation under MCA while demanding its shift to the Ministry of Law and Justice.
The court upheld the executive’s administrative discretion, emphasising judicial restraint in policy matters. While dismissing the appeal, it directed the Ministry of Law and Justice to consider relocating the NCLT to independent premises in the future to ensure autonomy and efficiency, without interfering with the
current decision.
In March, bench of Justice Amrita Sinha had dismissed the plea with the observation: “These are the initial birth pangs which occur whenever a new site or a place is tried to be developed.
One has to overcome these factors to achieve anything new. Over a period of time the subject place will definitely be bustling with life.”