The process of formation of the National Company Law Tribunal (NCLT) and the National Company Law Appellate Tribunal (NCLAT) has been kept in abeyance on account of a legal challenge in the Supreme Court to certain provisions of the Companies Act, 2013 relating to the constitution and composition of these bodies. The detailed procedure for transfer of pending cases will be finalized by the NCLT after it is established.

This information was given by Smt. Nirmala Sitharaman, MoS in the Ministry of Corporate Affairs in written reply to a question in the Lok Sabha today.

Tribunal formation abeyance delays transfer procedure for pending company cases until resolution of constitutional challenge. The formation of the National Company Law Tribunal and Appellate Tribunal is in abeyance because of a legal challenge to Companies Act provisions on their constitution and composition; the detailed procedure for transfer of pending cases will be finalized by the NCLT after it is established.