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National Company Law Tribunal

Ever since the boom of industrialization, the government of India has come up with multiple laws to cope with it. For resolving the issues related to corporate disputes of civil nature under The Companies Act, 2013 the government on the recommendation of Justice Eradi Committee, established a quasi-judicial adjudicating body, the National Company Law Tribunal on June 1st, 2016. It was set up under section 408 of the Companies Act, 2013.

It acts like the adjudicating authority for matters related to the insolvency resolution of companies and limited liability partnerships under the Insolvency and Bankruptcy Code, 2016.

National Company Appellate Tribunal

The National Company Appellate Tribunal is an authority which deals with the appeals arising out of the decision of the NCLT. It is basically an intermediate appellate authority for rectifying the errors of the NCLT. The decision of the Appellate Tribunal can further be challenged before the Supreme Court. Any party who is dissatisfied with the order of the NCLT can appeal before The Appellate Tribunal. The Appellate Tribunal will further review the decision of the Tribunal and set aside/modify or affirm it.

Difference between NCLT and NCLAT



Primary Jurisdiction

Appellate Jurisdiction

Evidences and witnesses presented before NCLT.

Reviews the decision of NCLT

NCLT does fact-finding and evidence collection.

The NCLAT decides a case based on already collected evidences and witnesses.

Why is NCLT constituted?

The National Company Law Tribunal constituted under Section 408 of The Companies Act, 2013 for the following purpose

  • Disposing off the proceedings which are pending before the Company Law Board (CLB).
  • To supervise the matters which are pertaining to the winding up, restructuring, compromise, etc. which are vested with the High Court.

The formation of The NCLT has helped to cater to the needs of the corporate sector. Further, it also aided in the promotion of interests of banks, financial sector institutions along with the stakeholders.

Scope of The National Company Law Tribunal

The NCLT amalgamates the jurisdiction of the Company Law Board, the Board for Industrial and Financial Reconstruction (BIFR), and The Appellate Authority for Industrial and Financial Reconstruction (AAIFR) and winding up or restructuring powers which were vested in the High Court. Hence, the Tribunal will have the powers to govern all the companies established under the Companies Act, 2013 in India.

Benefits of The National Company Law Tribunal

  • NCLT is an only specialized court for companies in India, hence it has exclusive jurisdiction.
  • It will reduce the multiplicity of litigation which was earlier present.
  • It has multiple branches which ease the procedure of registration of cases.
  • The Tribunal consists of both technical and judicial member. Which aides in the decision making.
  • The NCLT has reduced the time duration for winding up companies.
  • Speedy disposal of cases will decrease the number of cases.

Special Powers of NCLT

Under Notification dated 1st June 2016, the government transferred all the powers of the Company Law Board to the National Company Law Board. The NCLT has discretionary power to look into cases pending before the CLB from any stage.

Powers of the NCLT

  • Registration of Companies
  • Issue related to transfer of shares
  • Power to investigate
  • Power to freeze assets of the company
  • Conversion of Public Limited Company to Private Limited Company
  • Corporate Debt Restructuring (CDR)
  • Deposits
  • Safeguarding interests of Shareholders
  • Compounding of Offence

The procedure for filing an Appeal in the National Company Law Tribunal

The Ministry of Corporate Affairs in continuation with the establishment of the NCLT and the NCLAT, have come with NCLT Rules and NCLAT Rules in 2016. It provides the procedure for filing an appeal before both the Tribunals. Following are the requisite points for filing the appeal before The National Company Law Tribunal

  • The documents filed should be in English. If it is in another language, a copy of the Translation in English needs to be filed.
  • The documents should be typewritten and printed in double space on legal paper at one side with margins: Top 4 cm, Right- 2.5 cm and left 5 cm.
  • The document should be duly paginated and indexed together in paper book form.
  • Every appeal shall be filed in Triplicate.
  • Each document should have an index in triplicate stating the details and the fee paid.
  • The copy of the appeal should be filed with the opposing party.
  • Certified True Copy of Resolution for authorization to sign, verify and institute on behalf of the company shall also be enclosed.
  • An appeal needs to be filed in Form NCLT. 1 accompanied with the notice of admission in Form NCLT-2.
  • The Tile and the Heading for the Proceeding shall be in Form No. NCLT.4.
  • Under Form No. NCLT.6. the petition or the application needs to be verified by the affidavit.
  • The notion of Motion needs to be filed under Form No.NCLT.3.
  • Notice to the opposite party shall be issued in Form No. NCLT.5.
  • An advertisement in reference to the petition or application needs to be made in Form No. NCLT.3A in a vernacular and English newspaper. If the advertisement is placed, one needs to place it on the company website.
  • An individual is required to appear either in person or an authorized representative by filing a memorandum of appearance/Vakalatnama in Form No. NCLT.12.
  • The interns employed by the authorized representative don’t have the power appear before the Tribunal until and unless his name is included in the Register of Intern. The application for registering an intern should be made in Form NCLT.10 by the authorized representative.
  • Rule 66 to 88 provide a special procedure to be followed in certain conditions while filing an application. These include accompanying documents as mentioned in annexure-B, application contents and advertisement of the application.
  • The application for rectification of the final order needs to be filed under Form No.NCLT.9 within two years.
  • The certified copy of the NCLT order shall be filed with the ROC in Form No. INC-28 accompanied with fees of Rs. 500 within a period of 30 days.

Documents required for filing an appeal before The Tribunal

Documents required for filing an appeal before the NCLT under section 252 of the Companies Act

  • Index of the appeal or petition
  • Notice of admission
  • Brief synopsis
  • Important dates and Events
  • Petition or application stating the grounds
  • Every Petition shall be verified with an affidavit in the Form No. NCLT 6 and shall be made on a stamp paper of Rs. 10.
  • The authorised representative has to make appearnace by filing a Vakalatnama or memorandum of Appearnacein Form No. NCLT 12.
  • Certified copy of the Extract of resolution in favour of the Authorised Signatory/Authorised Representative
  • Power of Attorney
  • Master data of the company
  • Audited financial records of the company filing the petition for the defaulted period
  • Certificate of Incorporatio, Memorandum and AOA
  • Notices of ROC to concerned company.
  • demand draft ofstatutory fees
  • Any other document like ITR, VAT, bank statement or other documents which prove company was operational

Filing an appeal in NCLT with LawyerINC

Once you post a query, our representative will get back to you and a lawyer will be assigned to your case

Our Lawyer will contact you and explain the whole procedure and will understand the details of your case

Once the objectives are set forth, the lawyer shall draft an appeal

Once an appeal is drafted, it will be filed in The NCLT.

The Legal proceedings will be initiated.

Why Choose LawyerINC?

  • Free consultation for Enquiry
  • Renounced Legal Experts at your reach
  • End to End services
  • Assistance in filing the appeal in the National Company Law Tribunal
  • We'll provide ongoing support and we'll be available at your service throughout the case.

Frequently Asked Questions

  • 1. What is the structure of NCLT?

    The National Company Law Tribunal consists of the President, Judicial members, and technical members.

  • 2. What is the jurisdiction of NCLT?

    The application needs to be filed in the territorial jurisdiction within whose jurisdiction the registered office is situated. For the Companies having a paid-up share capital consisting of more than Rs. 50 Lakhs or for any other matter, the issues shall be dealt by President of the NCLT. If the paid up share capital of the company is up to Rs. 50 Lakhs, then the other benches shall have jurisdiction to try the matter.

  • 3. How many benches are there of NCLT?

    Currently, there are one NCLAT and eleven NCLT Benches in India. The NCT has 22 members which include 16 judicial members and 6 technical members.

  • 4. What are the powers vested with NCLT?

    NCLT has powers relating to the provisions of company law, compromise arrangement and amalgamation, winding up, Revival and Rehabilitation of sick companies, Compounding of offence. Etc.

  • 5. How can LawyerINC assist you in filing an appeal before NCLT?

    Here at LawyerINC, we will assist you in drafting the appeal before the National Company Law Tribunal by providing expert lawyers who are well-versed with the company law in India.

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