It is more than 18 years, the National Company Law Tribunal or NCLT has been in existence. It was introduced under the framework of Companies Act 1956 but notified under Companies Act 2013.
NCLT is a quasi-judicial authority that deals with corporate disputes of civil nature. It works on the lines of the ordinary court of law. The orders formed by it can assist in rectifying something wrongly done by any corporate or resolving a situation or levying penalties.
It is not required for nclt Mumbai to adhere to the service rules related to the appreciation of procedural law or evidence.
Functions performed by NCLT
Registration of companies
NCLT is empowered in taking steps like canceling the registration of a company, dissolving a company, de-registering a company, and so on.
NCLT has been instrumental in resolving the case of npa in india.
Transfer of shares
NCLT is empowered to hear grievances of rejection of companies to transfer the securities or shares.
NCLT has been given the rights of provisions with respect to the deposits under the companies act.
Investigations about the disputes of npa funding in india for a company have been given to NCLT. The investigation ordered by NCT can be conducted within or outside India.
The provisions are drafted for offering or getting help from the court, other investigation agencies, or foreign agencies as the case may be.
Freezing assets of a company
NCLT can freeze the assets of a company so that it can be used when the company comes under scrutiny or investigation. It is also possible to order the investigation on the request of others.
Conversion of a public limited company into a private limited company
To convert a public limited company into private limited company; it is required to have confirmation from NCLT.
It has the power under section 459 of the act for imposing specific restrictions or conditions and granting approvals to such conditions.