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Will National Company Law Tribunals work?
May, 24th 2010

Income Tax Appellate Tribunal (ITAT), State Administrative Tribunal (SAT), Customs, Excise and Service Tax Appellate Tribunal (CESTAT), Debt Recovery Tribunal (DRT), Central Administrative Tribunal (CAT), Intellectual Property Rights Tribunal, Electricity Tribunal and even a Railway Claims Tribunalwe have enough already. However, its time for one more. Eight years after they were first proposed, National Company Law Tribunals (NCLTs) are about to become reality, which is thanks to last weeks Supreme Court ruling. Will the creation of NCLTs take a load off corporate India's back? Will they work? Media finds out.

At the end of 2008, there were over 38 lakh cases pending in high courts across the country and over 50,000 pending at the Supreme Court. Each settlement typically takes seven-ten years. No wonder corporate Indias been crying out for speedier justice.

Thats exactly why, in 2002, a provision for NCLTs was enacted via the Companies Second Amendment Act. These tribunals were meant to deal with all cases pertaining to company law and insolvency.

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