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As of June 30, 2024, the National Company Law Tribunal (NCLT) has 19,770 pending cases, with 9,645 pending for less than one year and 10,125 for more than a year. The National Company Law Appellate Tribunal (NCLAT) has 3,019 pending cases, including 1,654 under one year, 1,365 over one year, 783 over two years, and 456 over three years. The backlog is attributed to case complexity, evidence requirements, frequent adjournments, and stakeholder cooperation. To address the delays, the government is expanding NCLT and NCLAT capabilities by increasing the number of Benches and Members, such as establishing five new NCLT Benches and setting up a Chennai NCLAT Bench. Additionally, regular training and the E-Court Project aim to improve efficiency. Appointments to both tribunals have been made progressively from 2021 to 2024 to fill vacancies and support case management.

GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS

RAJYA SABHA
UNSTARRED QUESTION NO.1654
ANSWERED ON TUESDAY, THE 6TH AUGUST, 2024 /Sravan 15, 1946 (SAKA)

Pendency in NCLT and NCLAT
QUESTION

1654. SHRI A.D. Singh:

(a) the number of cases pending in various National Company Law Tribunal (NCLT) and National Company Law Appellate Tribunal (NCLAT), the details thereof;

(b) the details of cases more than 1 year old, 2 years old and 3 years old or more, the NCLT and NCLAT-wise;

(c) the reasons of the pendency; and

(d) the efforts being made to reduce the number of pending cases in various NCLT and NCLAT?

ANSWER

MINISTER OF STATE IN THE MINISTRY OF CORPORATE AFFAIRS; AND MINISTER OF STATE IN THE MINISTRY OF ROAD TRANSPORT AND HIGHWAYS

(HARSH MALHOTRA)

(a) & (b): As per information provided by the National Company Law Tribunal (NCLT), as on 30.06.2024, a total of 19,770 of cases are pending as per the breakup given below:

Cases pending for less than 01 year Cases pending for more than 01 year
9,645 10,125

As per information provided by National Company Appellate Tribunal (NCLAT), as on 30.06.2024, a total of 3,019 of cases pending as per the breakup given below:

Cases pending for less than
01 year
Cases pending for more than 01 year Cases pending for more than 02 year Cases pending for more than 03 year
1,654 1,365 783 456

(c) Sir, the National Company Law Appellate Tribunal (NCLAT) and the National Company Law Tribunal (NCLT) act as quasi-judicial bodies. There are several reasons for the pendency of cases in NCLT and NCLAT which, inter-alia depends on circumstances and complexity of each case, nature of evidence, large number of IAs, stay by the appellate bodies in many cases, cooperation of stake holders and frequent adjournments.

(d) Sir, the Government is taking all steps to strengthen the NCLT and NCLAT in terms of number of Benches, number of Courts and number of Members, to reduce the pendency. Apart from the decision to set up NCLAT bench at Chennai, five new Benches of NCLT have been set up during 2018-19 at Jaipur, Cuttack, Kochi, Indore and Amravati. For capacity building of Members, regular colloquiums are being held. The E-Court Project has also been implemented by the National Informatics Centre (NIC) for all the Benches of NCLT and NCLAT. Filling up of vacancies for Members is a dynamic, integrated, continuous and collaborative process between Executive and Judiciary. As a result of this process, following appointments were made in NCLT during the years 2021 to 2023:

Sr. No. Year Number of Appointments
1. 2021 01 (President) & 20 (Members)
2. 2022 14 (Members)
3. 2023 20 (Members)

Similarly, following appointments were made in NCLAT during the years 2021 to 2024:

Sr. No. Year Number of Appointments
1. 2021 01 (Chairperson)
2. 2022 05 (Members)
3. 2023 03 (Members)
4 2024 04 (Members)

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