This debate was finally settled in the ammonia case, where the Supreme Court stated: Considering that difficulties have arisen with regard to compliance with the provisions of sections 24, 58 and 59 of this Act insofar as they relate to the exercise of certain powers by the court during the period during which it is duly constituted under this Act; The Companies Act 2013 (“Act”) significantly expanded the powers of the National Company Law Tribunal (“NCLT”). Even a cursory analysis of the provisions reveals the broad scope of competence exercised by CLBS today. The restrictions imposed by Ammonia Supplies Corporation (PT) Limited v. Modern Plastic Containers (P) Limited (“Ammonia”) against NCLT`s predecessor, the Company Law Council (“CLB”), have been lifted and NCLT now has exclusive jurisdiction. This article analyses the evolution of case law and the correction of the register of members. 2. The court may, after hearing the parties to the appeal referred to in paragraph 1, either dismiss the appeal or order that the transfer or transfer be registered by the company within ten days of receipt of the order or of the direct rectification of the depositary registers and, in the latter case, order the undertaking: where appropriate, to pay the compensation suffered by the injured party. 2. Continuation of cases, proceedings or matters before the Company Law Commission until they are transmitted to the court in accordance with section 434. — It is hereby clarified that until notified by the Central Government in accordance with paragraph 1 of Article 434 of the Companies Act 2013 (18 of 2013), all matters, proceedings or matters shall be notified to the court constituted under Chapter XXVII of the said Act, The Company Law Administrative Board shall exercise the powers of the court in accordance with Article 24, 58 and § 59 in accordance with the second reservation to article 465(1) of this Act. Whereas the provisions of sections 24, 58 and 59 of that Act came into force on September 12, 2013; 3. The provisions of this Division shall not restrict the right of a holder of securities to transfer such securities and any person acquiring such securities shall have the right to vote, unless the voting rights have been suspended by order of the court.
1. This Regulation may be referred to as the Companies (Removal of Hardship) Ordinance 2013. The extent of the CLB`s jurisdiction under section 111 of the 1956 Act has been widely debated and there have been conflicting decisions. In a limited number of cases, the CLB exercised jurisdiction over fraud, misrepresentation and violations of the law. At the same time, there have been cases where CLB withdrew on the grounds that it exercised only summary jurisdiction and could not initiate a factual investigation. Continuation of cases, proceedings or matters before the Companies Law Committee until they are referred to the court in accordance with section 434 (5) Therefore, on application under section 59, the court may, in exercising the powers conferred by subsection (1) of section 470 of the Companies Act 2013 (18 of 2013), make the following order to eliminate the above difficulties: In addition, in Vikram Jairath and Others v. Middleton Hotels Private Limited and Others, the Calcutta High Court granted ammonia and held that NCLT could decide difficult or complex issues in a limb correction case. The Calcutta High Court reached this conclusion on the basis of its conclusion that the powers conferred on the CLB by the 1956 Act were summary in nature.
However, under the 2013 Act, the NCLT was given broad powers similar to those of a civilian court. Articles 58 and 59 of that law provide for certain powers of the court to rule on an appeal against refusal to register or the correction of the names of partners in the register of partners of a company. The Companies Act 2013 (18 of 2013) (hereinafter referred to as “the said Act”) received the approval of the President on 29 August 2013 and Article 1 entered into force on the same day. The provisions of sections 55A, 111 and 111A of the Companies Act 1956 (1 of 1956), which correspond to sections 24, 58 and 59 of that Act, confer on the Company Law Council established under the Companies Act 1956 the powers set out above; 1. Omitted by the Companies (Amendment) Act 2020, w.e.f. 21.12.2020[N/A. 4646(E) of 21.12.2020], subsection: (iii) any person holding shares of the Company whose name is registered as the beneficial owner in the records of a depositary But even after ammonia, CLB continued to make conflicting decisions. (a) decide on the entry or removal of his name from the register on any matter relating to the title of a person party to the application; (a) an interim order or measure, including an injunction or stay that it considers appropriate and fair;. However, the act made significant changes and regulated the issue through legislation. In this context, it is important to note the fundamental amendment under (i) Article 59 and (ii) Article 430 of the Law and (iii) Rule 70 of the Rules of the National Company Law Court, 2016.
2. It shall enter into force on the day of its publication in the Official Journal. Cases involving a serious question of fact and law should be referred to the civilian courts. The establishment of the Court in accordance with the procedure laid down in Chapter XXVII of the said Law may take some time. 1. Where the name of a person is entered without sufficient cause in the register of shareholders of a company or omitted without sufficient reason after his entry in the register, or in the event of an omission or unnecessary delay in his entry in the register, the fact that a person has become or is no longer a member, the injured party or a member of the company or company may, in the prescribed manner, be notified to the court or have recourse to a court of competent jurisdiction outside India, as determined by the central government, by notice in respect of foreign members or holders of debt obligations resident outside India, for the purpose of rectification of the register. The judiciary is aware of the changes brought about by the law. The main verdict is from Shashi Prakash Khemka (dead) by LRs.
v. NEPC Micon, in which the Supreme Court took note of the amendments made pursuant to sections 430 and 59 of the Act. In considering ammonia, the Supreme Court concluded that, with respect to section 430 of the Act, the jurisdiction of the civil court under section 59 of the Act is replaced solely in favour of the NCLT. (b) any other instrument prescribed by the Central Government in consultation with the Reserve Bank of India issued by a company; The CLB`s jurisdiction under section 111 of the 1956 Act is summary and summary in nature. (2) The petitioner shall publish the petition in accordance with section 35 at least fourteen days before the date of the hearing. (c) ancillary or consequential orders relating to the payment of dividends or the allocation of free or subscription shares. According to the Company Law Council (fees for applications and petitions) Amendment Rules, 2014 empty G.S.R. 772 (E) of 3. November 2014, a fee of Rs. 500 applies to the request for correction of the register of members to the Companies Law Committee. (3) If the applicant has received an objection from a person whose interests are likely to be affected by the proposed application, the applicant shall serve a copy of the objection on the Registrar on or before the date of the hearing, (4) If the transfer of securities contravenes any provision of the Securities Contracts (Regulation) Act 1956 (42 of 1956), of the Securities and Exchange Board of India Act, 1992 (15 of 1992) or this Act or any other Act now in force, the court may, on the application of the depositary, company, depositary, holder of the securities or the Securities and Exchange Board, order a company or depositary to correct the breach and to correct its register or relevant records.