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Delhi High Court dismisses plea challenging appointment of technical member to NCLAT

The Delhi High Court on Tuesday dismissed a plea challenging the appointment of a technical member to the National Company Law Appellate Tribunal (NCLAT) with a cost of Rs 25,000 observing that the alleged appointment was made in accordance with the law.

The Division Bench of Chief Justice D.N. Patel and Justice Jyoti Singh was dealing with a public interest litigation filed by an NGO India Awake for Transparency against the appointment of a technical member in NCLAT on the ground that appointment to such tribunals of persons having no judicial exposure is illegal.

The Centre opposed the petition on the ground that the petitioner organisation has no locus standi to file the instant petition. The Bench was informed that various courts have imposed costs on the petitioner organisation for repeatedly filing such frivolous petitions, but the same have not been deposited by it. 

In addition, the Bench was informed that person so appointed is duly qualified for the post and that the appointment was made in accordance with law by the search and selection committee headed by the Chief Justice of India. 

The Bench noted thus: “Looking to the qualification of Respondent No.2, she is fully qualified to be appointed as member (technical) in NCLAT. The process of selection is in accordance with law. ”  “Respondent No.2 has also served as a member of the National Consumer Commission for several years and has decided several matters,” added the Bench.

The Bench refused to entertain the instant petition, while expressing displeasure over the fact that the petitioner organisation is no longer in existence and that its license has been cancelled, even though the affidavit filed by the organisation asserts otherwise. 

“The petitioner company is inactive whereas looking to the affidavit filed in this petition, a false affidavit has been filed that the company is active. Thus, we see no reason to entertain the present petition and the same is therefore dismissed with a cost,” said the Bench.

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