Sitharaman

New Delhi, 22 July (HS). Union Finance and Corporate Affairs Minister Nirmala Sitharaman said on Monday that the Ministry of Corporate Affairs (MCA) has taken several steps to reduce pending cases. She said that there is a need for more number of appellate tribunals, which is being fulfilled.

The Finance Minister said this in response to a question asked after presenting the Economic Survey 2023-24 in the Lok Sabha, the lower house of Parliament. She said that the Ministry of Corporate Affairs has taken several steps to reduce pending cases. Sitharaman said that as of July 15, 2024, 6,294 applications have been filed for withdrawal in various courts.

Responding to a question, Sitharaman said that several steps have been taken for ease of doing business. Due to decriminalisation of 63 offences, today companies are able to do their work without worrying about compliance. A central processing system has also been established. She informed the House that zero fee has been introduced for incorporation for companies with authorised capital up to Rs 15 lakh. This is an example of ease of doing business which is moving forward along with reducing pending cases in the courts.

The Finance Minister said, “I would also like to highlight the reforms brought in by SEBI, particularly the timelines given for settlement of claims. This is a remarkable step. Our market and companies have benefited from it. In fact we are way ahead of many other countries where similar company laws operate.”

He said, I agree with the Hon'ble MP that staffing and filling up vacancies in NCLT and NCLAT is a challenging task which we are trying to solve. We are conducting interviews from time to time, advertising for positions and working closely with the Supreme Court so that we get the right members to appoint to various company law tribunals. It is true that there is an NCLAT in Tamil Nadu.

The Finance Minister further said that I am sure that for now, at least the southern states will know that it is located in Chennai and not in the north. This will serve the purpose. I appreciate that we need more number of appellate tribunals. The appointments to both NCLT and NCLAT are being taken seriously by all of us. We are trying to fill them up quickly. I want to assure the members that the work of filling these posts is being done with greater urgency.