Constitution of National Company Law Tribunal
Section 408 of the Companies Act, 2013 deals with constitution of National Company Law Tribunal. The Central Government shall, by notification, constitute, with effect from such date as may be specified therein, a Tribunal to be known as the National Company Law Tribunal consisting of a President and such number of Judicial and Technical members, as the Central Government may deem necessary, to The Act came into force on 01 Apr 2014.
The Central Government shall, by notification, constitute, with effect from such date as may be specified therein, a Tribunal to be known as the National Company Law Tribunal consisting of a President and such number of Judicial and Technical members, as the Central Government may deem necessary, to be appointed by it by notification, to exercise and discharge such powers and functions as are, or may be, conferred on it by or under this Act or any other law for the time being in force.
Section 408, The Companies Act, 2013 (Act 18 of 2013).
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
Related judgements & precedents
These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.
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Madras Bar Association vs Union of India
Court's Decision & Legal Precedent
When Parliament transfers judicial functions traditionally exercised by courts to tribunals, the standards for tribunal member qualifications must be as nearly as possible equal to those for High Court judges to preserve judicial independence and the rule of law. Specifically: (1) Only judges and advocates with prescribed experience can be judicial members; (2) Only Secretary/Additional Secretary level officers with specialized expertise in the relevant field can be technical members; (3) The selection committee must have 4 members (2 from judiciary, 2 from executive) with the Chief Justice of India having a casting vote to ensure judicial independence in the selection process; (4) A Constitution Bench judgment establishing these standards binds subsequent legislation and cannot be circumvented by re-enacting similar provisions with minor variations. The gradual dilution of tribunal member qualifications represents an erosion of judicial independence that courts must prevent through judicial review.
On this section: New provisions establishing NCLT and NCLAT - the Court examined whether these provisions cured the defects identified in the 2010 judgment or repeated them
The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.
Judgments citing this section
These may be obiter dicta or a precedent, for you to study. These are the judgments where this section is quoted.
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… However, the Airtel entities also <span id="page-3-0"></span><sup>6</sup>For short- 'interconnect charges'. <span id="page-3-2"></span><span id="page-3-1"></span><sup>7</sup> Section 5(1) of IBC – "Adjudicating Authority", for the purposes of this Part, means National Company Law Tribunal constituted under Section 408 of the Companies Act, 2013 (18 of 2013). <sup>8</sup> For short- 'Telenor India'. owed Rs.64.11 crores towards interconnect charges to the Aircel entities. - 2.9 The claims submitted by the Airtel entities were admitted by the Resolution Professional to the extent of Rs.112 crores. Claim on account of …
Made under this section, and citing it
1 instrument states that it was made under this provision — the power to make it comes from here, so a change to any of them changes what this section requires in practice. Newest first.
Another 10 instruments name this provision in its title or its text without being made under it.
- In exercise of powers conferred by section 408 and 410 of the Companies Act, 2013Notification 2016
- In exercise of powers conferred by section 408 of the Companies Act, 2013Notification 2016
- In exercise of powers conferred by section 408 of the Companies Act, 2013(18 of 2013)Notification 2016
- Notification constituting the National Company Law Tribunal and National Company Law Appellate Tribunal under Sections 408 and 410 respectively of the Companies Act, 2013Notification 2016
- NCLAT (Recruitment, Salary and other Terms and Conditions of Service of Officers and other Employees) Rules, 2020Rule 2020
- NCLT (Recruitment, Salary and other Terms and Conditions of Service of Officers and other Employees) Rules, 2020Rule 2020
- Companies (Transfer of Pending Proceedings) Rules 2016Rule 2016
- In exercise of the powers conferred by section 469 read with section 414 of the Companies Act, 2013 (18 of 2013)Notification 2016
- Finalized National Company Law Tribunal service condition Rules of President and Members - yet to be notified.Rule 2015
- The National Company Law Appellate Tribunal (Salaries and Allowances and other terms and conditions of service of the Chairperson and other Members) Rules, 2015.Rule 2015
Questions about Section 408
What have the courts held on Section 408 of the Companies Act?
Madras Bar Association vs Union of India (14 May 2015) is the leading judgment on this section among those set out below: New provisions establishing NCLT and NCLAT - the Court examined whether these provisions cured the defects identified in the 2010 judgment or repeated them.
How do I find court cases under Section 408 of the Companies Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Companies Act 408, section 408 Companies Act, section 408 of the Companies Act. People searching for it also type companies act section 408 exemption. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 1 reported judgment on this section is set out on this page, beginning with Madras Bar Association vs Union of India (14 May 2015).
What should I read with Section 408 of the Companies Act, and has it changed?
3 other provisions in this corpus refer back to it. The rules and notifications made under it are where it actually bites, and there is one: most recently The Companies (Removal of Difficulties) Third Order, 2014 (2014).
When did Section 408 of the Companies Act come into force?
Section 408 of the Companies Act, cited as Companies Act 408, came into force on 01 Apr 2014, having been enacted on 29 Aug 2013. It is in force as at the date shown on this page.
Other sections of this Act
- 2. Definitions5089 words
- 143. Powers and duties of auditors and auditing standards1867 words
- 230. Power to compromise or make arrangements with creditors and members1432 words
- 232. Merger and amalgamation of companies1416 words
- 149. Company to have Board of Directors1403 words
- 217. Procedure, powers, etc., of inspectors1390 words
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 15 Oct 2026. This page is not a substitute for legal advice.