Authority to Establish NCLT Benches Affirmed; Kochi Bench in Progress

The Court upheld that decisions on the establishment of NCLT Benches are within the authorities' discretion. It dismissed the petition seeking a Writ of Mandamus to continue hearing Company Cases in Kerala High Court until an NCLT Bench is established. The review petition against the judgment emphasizing the authority's role in NCLT bench establishment was also denied. The Government of India's phased plan for NCLT Bench establishment, including in Kochi, was acknowledged, subject to infrastructure availability. The Court highlighted that decisions on NCLT infrastructure verification and establishment rest with the relevant authorities.

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Issues involved:
1. Establishment of NCLT Bench in the State of Kerala.
2. Review petition against the judgment passed in W.P.(C) No.39898 of 2016.
3. Proposed establishment of NCLT Benches by the Government of India.

Issue 1: Establishment of NCLT Bench in the State of Kerala:
The petitioners sought a Writ of Mandamus to continue hearing Company Cases in Kerala High Court until an NCLT Bench is established at Ernakulam. The Court declined to direct the establishment of an NCLT bench, stating that it is the authorities' prerogative. The Court emphasized that it cannot interfere with policy decisions and dismissed the writ petition. The Kerala High Court Advocates' Association filed a review petition seeking permission to file a review against this judgment. An interim order for maintaining status quo regarding the establishment of NCLT bench at Chennai was granted. The matter was referred to a Division Bench, which upheld the decision that the authorities concerned should decide on the establishment of NCLT benches. The Association highlighted the Government of India's proposal to establish NCLT Benches in phases, including at Kochi.

Issue 2: Review petition against the judgment passed in W.P.(C) No.39898 of 2016:
The Court found no grounds to review the judgment passed in W.P.(C) No. 39898 of 2016, which emphasized that decisions regarding NCLT bench establishment are for the authorities concerned to make. The Court reiterated that it cannot interfere with policy decisions and declined the review petition.

Issue 3: Proposed establishment of NCLT Benches by the Government of India:
The Government of India proposed establishing NCLT Benches in phases, with some already notified and others planned for future establishment. The Court noted that Kochi was planned for a future NCLT Bench, subject to infrastructure availability and appointment of Members. The Court acknowledged the efforts to verify infrastructure at Kochi for NCLT establishment, expressing hope that the grievance of the Kerala High Court Advocates' Association would be addressed promptly. The Court reiterated that decisions on infrastructure verification and establishment of NCLT Benches are the responsibility of the authorities concerned.

In conclusion, the Court upheld its decision that the establishment of NCLT Benches is at the discretion of the authorities, dismissed the review petition, and acknowledged the Government of India's phased plan for NCLT Bench establishment, including in Kochi.

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