Supreme Court Reprimands NCLAT for Ex-Parte Order
The Supreme Court criticized the National Company Law Appellate Tribunal (NCLAT) at Chennai for issuing an ex-parte order regarding the Matrix-Tianish merger.
A bench consisting of Justice Surya Kant and Justice Joymalya Bagchi expressed disappointment that the order was passed without notifying the affected parties, citing the case Ras Al Khaimah Investment Authority Vs Matrix Pharmacorp.
“This NCLAT does not have the common sense to issue a notice and then hear? Passing a 30-page order ex-parte,"
The Court's remark highlights the importance of due process and the need for NCLAT to issue notices to affected parties before making significant decisions.
Author's summary: Supreme Court reprimands NCLAT for ex-parte order in merger case.