Can NCLAT Resolve Split Verdicts by Referring Matters to a Third Member: Supreme Court

The Supreme Court has agreed to determine whether the National Company Law Appellate Tribunal (NCLAT) can refer cases resulting in a split verdict to a third member or must constitute a larger bench.

The bench of Justices BV Nagarathna and Augustine George Masih issued notice and sought assistance from Solicitor General Tushar Mehta on this procedural question.

The Court noted that the issue raises significant concerns regarding the jurisdiction and internal functioning of NCLAT benches when differing opinions arise during adjudication.

[R. Narayanaswamy v The Registrar of Companies, Tamil Nadu]