Higher Judiciary Member 'Approached For Favour': SC Orders Probe Into NCLAT Judicial Member's Claims

(MENAFN- Live Mint) The Supreme Court (SC) on Wednesday ordered a probe into the claims of a judicial member of the National Company Law Appellate Tribunal (NCLAT ) after he claimed that he was "approached by one of the most revered members of the higher judiciary", reported news agency PTI.

The inquiry will be conducted by the top court's secretary general with the SC deciding the future course of action on the basis of the outcome, said the report, citing sources.

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Justice Sharad Kumar Sharma, the judicial member of the Chennai-based NCLAT , alleged that he was approached by a member of the higher judiciary for a favourable order in a case which was pending before him.

He recused himself from hearing the matter and also mentioned the incident in a two-paragraph order passed on August 13.

"We are anguished to observe that one of us, Member (Judicial), has been approached by one of the most revered members of the higher judiciary of this country for seeking an order in favour of a particular party. Hence, I recuse to hear the matter (sic)," the NCLAT order said.

The two-member NCLAT bench comprised Justice Sharma and Technical Member Jatindranath Swain.

The tribunal bench requested that the matter be placed before the "chairperson for nomination of an appropriate bench" to hear the case.

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It was hearing an appeal filed by AS Reddy, suspended director of Hyderabad-based KLSR Infratech, which is facing Corporate Insolvency Resolution Process (CIRP) under the Insolvency and Bankruptcy Code (IBC).

After the completion of hearing, the judgment in the matter was reserved by the tribunal on June 18.

It also granted seven days time to both parties to file written submissions, if any.

CIRP was initiated by the Hyderabad bench of the NCLT against KLSR Infratech over the plea filed by its creditor AS Met Corp Pvt Ltd on July 14, 2023.

It appointed an interim resolution professional after suspending the board of the realty firm.

The order was challenged by AS Reddy before the NCLAT.

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