The Supreme Court has ordered an inquiry into a claim made by a judicial member of the NCLAT, alleging that a member of the higher judiciary contacted him to rule in favor of a party in a pending case.
New Delhi: The Supreme Court has ordered an inquiry into the claim made by a judicial member of the National Company Law Appellate Tribunal (NCLAT). Justice Sharad Kumar Sharma alleged that he was approached by a highly respected member of the higher judiciary to pass an order in favor of a party in a pending case.
The Supreme Court has entrusted the Secretary General with the investigation of the matter. The apex court will decide on further action based on the findings of the investigation. This move is being seen as an effort to ensure transparency and judicial independence in the Indian judiciary.
Justice Decides to Recuse Himself from Hearing in NCLAT Order
The two-member bench of the NCLAT in Chennai included Justice Sharma and Technical Member Jatindranath Swain. In the order, Justice Sharma wrote, "We are pained to say that we have been approached by a highly respected member of the higher judiciary of the country for passing an order in favor of a particular party. Therefore, I recuse myself from hearing this matter."
Following this, the Tribunal directed that the matter be placed before the Chairperson for nomination of an appropriate bench. The case pertained to an appeal filed by the suspended director of KLSR Infratech, which was undergoing Corporate Insolvency Resolution Process (CIRP) and IBC.
Justice Sharma Recused Himself from the Hearing
Justice Sharma recused himself from the case during the hearing on August 13. He recorded his reasons in the order. Prior to this, the hearing on the appeal was completed on June 18, and both parties were given seven days to make submissions.
Justice Sharma retired from the Uttarakhand High Court on December 31, 2023, and joined the NCLAT as a judicial member on February 19, 2024. He has previously recused himself from several cases, reflecting his approach to impartiality.
Supreme Court to Investigate and Take Action
The Supreme Court's investigation will gather complete information about the matter. Following this, the court may issue disciplinary actions or necessary directions. This investigation is considered crucial to ensure credibility and impartial judgment in the judiciary.
Experts say that this case could further strengthen transparency in the processes of the NCLAT and the Supreme Court. In the future, such claims could impact the independence and accountability of the judicial system.
