Company Law Board to exercise powers till government notifies NCLT provisions

NEW DELHI: Company Law Board will continue to exercise its powers till the government notifies a date for transfer of all matters before it to the National Company Law Tribunal (NCLT) under the new Companies Act.

The Corporate Affairs Ministry today clarified that "the Board of Company Law Administration shall exercise the powers of the Tribunal" till it notifies a date for transfer of all matters, proceedings or cases to the NCLT.

The Ministry made this announcement through the 'Companies (Removal of Difficulties) Order, 2013'.

Under Chapter XXVII of the new companies legislation, the government would set up the NCLT.

Once in place, NCLT would replace the Company Law Board. Appeals against the orders of NCLT would be heard by the National Company Law Appellate Tribunal.

Earlier today, the Ministry issued the second set of draft rules for eight chapters of the Companies Act, 2013.

Among others, the latest tranche covers chapters on National Company Law Tribunal and Appellate Tribunal, Special Courts (Mediation and Conciliation Panel), Prospectus and Allotment of Securities, and Management and Administration.

The second tranche of draft rules would be open for public comments till October 19.

The new legislation has 470 sections spread across 29 chapters.