ENA Sectors 2025-03-03 15:01:49 <p><span style="font-size:14px"><strong>New Delhi, Mar 3 (KNN)</strong> The Union government has assigned benches to 21 of the 24 newly appointed judicial and technical members of the National Company Law Tribunal (NCLT), following demands from the NCLT Bar Association and a Supreme Court directive to expedite the process.</span></p> <p><span style="font-size:14px">In January 2025, the Centre appointed 24 new members to 11 NCLT benches across the country to fill existing vacancies. India has a total of 16 NCLT benches with a sanctioned strength of 63 members.</span></p> <p><span style="font-size:14px">The delay in assigning benches was attributed to the induction programme, which aimed to familiarize the new members with tribunal operations.</span></p> <p><span style="font-size:14px">According to an official notification from the Ministry of Corporate Affairs (MCA), issued on Friday, the new members have been instructed to assume their roles at the earliest.</span></p> <p><span style="font-size:14px">The NCLT Bar Association had previously raised concerns over the delay, arguing that it was slowing down insolvency proceedings.</span></p> <p><span style="font-size:14px">The Supreme Court, in a November 2024 ruling, had also expressed disappointment over the tribunals large vacancies, citing them as obstacles to the insolvency resolution process.</span></p> <p><span style="font-size:14px">Former Chief Justice of India DY Chandrachud had emphasized that the lack of members and inadequate infrastructure were major impediments to the tribunals efficiency.</span></p> <p><span style="font-size:14px">Industry experts highlight that the shortage of members directly impacts dispute resolution. Existing members are overworked, with some benches handling over 150 matters per day, said Abhishek Swaroop, partner at Saraf and Partners.</span></p> <p><span style="font-size:14px">Data from the Insolvency and Bankruptcy Board of India (IBBI) shows that the average time for a corporate insolvency resolution process (CIRP) has risen to 716 days in 2023-24, far exceeding the 330-day limit mandated by the Insolvency and Bankruptcy Code (IBC).</span></p> <p><span style="font-size:14px">The government is reportedly considering doubling NCLTs strength to 115 members and increasing the number of benches to 31 to enhance efficiency, but no final decision has been taken yet.</span></p> <p><em><strong><span style="font-size:14px">(KNN Bureau)</span></strong></em></p> 41254 https://knnindia.co.in/news/newsdetails/sectors/government-assigns-benches-to-21-newly-appointed-nclt-members-amid-rising-insolvency-case-backlog 2025-03-03 15:01:49 knnindia.co.in