MADRAS BAR ASSOCIATION vs UNION OF INDIA

The Supreme Court upheld the constitutional validity of the National Company Law Tribunal (NCLT) and the National Company Law Appellate Tribunal (NCLAT) as established under the Companies Act, 1956, specifically addressing provisions in Parts 1B and 1C. The Court agreed with the Madras High Court's identification of defects in these provisions, which must be amended to align with constitutional principles, particularly regarding the qualifications for judicial members as outlined in Section 10FD. The judgment emphasized the necessity of ensuring that only qualified judges and advocates are appointed to maintain the integrity of the judicial process.