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CIBBA Requests Operationalisation of Second Bench at NCLAT Chennai to Tackle Rising Caseload

CIBBA Requests Operationalisation of Second Bench at NCLAT Chennai to Tackle Rising Caseload

Pranav B Prem


The Corporate Insolvency and Bankruptcy Laws Bar Association (CIBBA), a registered society comprising legal practitioners before the National Company Law Tribunal, Chennai, has submitted a detailed representation dated May 28, 2025, to the Hon’ble Chairperson of the National Company Law Appellate Tribunal (NCLAT), New Delhi. The representation seeks the early constitution and operationalisation of a second bench of the NCLAT at its Chennai premises.

 

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The Association, in its representation, emphasized its primary objective of encouraging and promoting the study of corporate, insolvency, bankruptcy, economic and allied laws. It pointed out that although the Chennai Bench of the NCLAT is currently operational with one functional bench comprising Hon’ble Mr. Justice Sharad Kumar Sharma (Judicial Member) and Hon’ble Mr. Jatindranath Swain (Technical Member), there exists adequate infrastructure at the Chennai premises for a second bench, which has not yet been made functional.

 

The Association recalled that on January 25, 2019, in the matter of Swiss Ribbons v. Union of India [W.P. (C) No. 99 of 2018], the Hon’ble Supreme Court of India recorded the undertaking given by the Union of India for setting up regional benches of the NCLAT and directed the Government to establish the same within six months from the date of the said order. In compliance with this, the Ministry of Corporate Affairs, vide Notification No. Infra.11013/5/2019-Infra MCA, had decided to constitute a permanent bench of the NCLAT for the Southern Region in Tamil Nadu.

 

While the Chennai Bench has been functional for some time and is presently hearing all matters arising from the Southern Region, the Association stated that all sanctioned member vacancies in the NCLAT have now been filled, making it administratively possible to constitute the second bench. It expressed optimism over this development and urged the Chairperson to take prompt steps to operationalise the second bench.

 

The representation sets out three compelling grounds in support of the request:

 

  1. High Pendency of Matters: There is a considerable backlog of appeals pending adjudication before the NCLAT, Chennai. Despite the best efforts of the current Bench, the volume of cases continues to rise. Establishing a second bench would significantly help in reducing pendency and improve the speed and efficiency of adjudication.

  2. Jurisdiction Over Six Regions: The Chennai Bench exercises jurisdiction over Tamil Nadu, Kerala, Karnataka, Andhra Pradesh, Telangana, and Puducherry. Given this vast regional coverage, the Association stressed the necessity of sufficient judicial capacity to meet the growing demands from these jurisdictions.

  3. Investment in Infrastructure: Significant public funds have already been utilized to establish a second courtroom and related infrastructure at the Chennai premises. However, owing to lack of member appointments earlier, these facilities remain unutilized, resulting in underuse of public resources. With all vacancies now filled, this infrastructure can be put to immediate use.

 

In light of the above, the Association requested the Hon’ble Chairperson to take appropriate steps to operationalise the second bench without further delay. It also urged that adequate budgetary allocation be made to appoint necessary court staff for the smooth functioning of the second bench.

 

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The representation was signed by R. Venkatavaradan, President of the Association, and was copied to the Hon’ble Minister of Finance and Corporate Affairs and the Secretary, Ministry of Corporate Affairs, highlighting the issue’s importance at both judicial and administrative levels.

 

[Read/Download The Representation]

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