New Delhi (30.10.2023): Judicial member of National Company Law
Appellate Tribunal (NCLAT) Justice Rakesh
Kumar resigned on October 30, 2023 after the Supreme Court
took strong exception to his conduct for defying the top court's order in a
case regarding the disclosure of results of Annual General Meeting (AGM) of
Finolex Cables. Justice
Kumar's counsel informed the top court that the judicial member had no
intention to violate the top court's order but the episode has shattered his
reputation and therefore, he has no intention to continue in his post. The
Court closed the matter against Justice Kumar and NCLAT technical member Dr Alok Srivastava both of whom drew the
ire of the Court for acting in violation of the apex court's order. The case pertained to the Annual General Meeting (AGM) of
Finolex cables. The NCLAT had earlier passed an order directing status quo on
the results of the AGM till they adjudicate on the dispute between cousins
Prakash Chabria and Deepak Chabria. However, the Supreme Court on September 20 set aside this status
quo order but also said that important decisions such as appointment of
executive chairperson will be subject to the outcome of the litigation at
NCLAT. Subsequently, when the matter came up for hearing on October 13, the
Supreme Court passed an order directing NCLAT to defer the pronouncement of its
order till the time the results of the AGM is submitted in the form of a report
by the scrutinizer.
New Delhi (30.10.2023): Judicial member of National Company Law
Appellate Tribunal (NCLAT) Justice Rakesh
Kumar resigned on October 30, 2023 after the Supreme Court
took strong exception to his conduct for defying the top court's order in a
case regarding the disclosure of results of Annual General Meeting (AGM) of
Finolex Cables.
Justice Kumar's counsel informed the top court that the judicial member had no intention to violate the top court's order but the episode has shattered his reputation and therefore, he has no intention to continue in his post. The Court closed the matter against Justice Kumar and NCLAT technical member Dr Alok Srivastava both of whom drew the ire of the Court for acting in violation of the apex court's order.
The case pertained to the Annual General Meeting (AGM) of Finolex cables. The NCLAT had earlier passed an order directing status quo on the results of the AGM till they adjudicate on the dispute between cousins Prakash Chabria and Deepak Chabria.
However, the Supreme Court on September 20 set aside this status quo order but also said that important decisions such as appointment of executive chairperson will be subject to the outcome of the litigation at NCLAT. Subsequently, when the matter came up for hearing on October 13, the Supreme Court passed an order directing NCLAT to defer the pronouncement of its order till the time the results of the AGM is submitted in the form of a report by the scrutinizer.