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TMI Blog2020 (5) TMI 659X X X X Extracts X X X X X X X X Extracts X X X X ..... se no harm to any person - Of course, the principles of natural justice are not the edicts of a statute. The principles of natural justice are not to be imprisoned in a straight-jacket cast-iron formula. Notwithstanding the same, observing the tenets of natural justice is of paramount importance in the considered opinion of this Tribunal. In fact, impleadment of parties is only a matter of fact and not a matter of Law. Addition of parties/ striking out parties of course, is a matter of discretion to be exercised by a Tribunal/ Court based on sound judicial principles. The said discretion can be exercised either on the application of a Petitioner/ Respondent or suo-motu or on the application of a person who is not a party to any pending proceedings. However, the said discretion cannot be exercised in a cavalier and whimsical fashion. In the present case, the Ministry of Corporate Affairs was neither arrayed as a party nor impleaded in the subject matter before the Adjudicating Authority. Also, that the Registrar of Companies had not filed any response/ reply/ counter (in respect of the clarification sought for) prior to the passing of the impugned order. An Adjudicating Authority (N ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r proper appreciation of the matters. This shall be applicable throughout the country to all the benches of National Company Law Tribunal. The Registrar shall send a copy of this order to all NCLT benches so that respective Deputy Registrar may ensure that proper parties are impleaded." and directed the matter to be listed for further consideration on 11.12.2019. 3. It is the contention of the Appellant that the impugned order bristles with numerous infirmities and that the Adjudicating Authority does not possess the powers to pass an order, which was in the 'nature of rule' under the guise of an 'order'. 4. According to the Appellant, the 'rule making power' is the exclusive domain of the Central Government (being a subordinate legislation) and the same is required to be placed after notification before the August House of the Parliament. 5. It is represented on behalf of the Appellant that the Adjudicating Authority before passing the impugned order ought to have issued notice to the Union of India, since the subject matter in issue concerns about the imposition of a new rule, which the said Authority has no power to make especially its direction t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... essional relating to the difficulties faced by him in carrying out the compliance of the provisions of the Companies Act, 2013 and other relevant provisions of Law. That apart, the general direction issued in the impugned order has no bearing on the Respondent and that the present Appeal is filed against the wrong Respondent. Hence, the Appeal is liable to be dismissed, in the interest of justice. 11. It is to be pertinently pointed out that if a certain thing is to be performed in a particular manner, then the same is to be done in that way. In fact, a procedural wrangle cannot be allowed to be shaked or shackled with. 12. It is axiomatic principle in law that if a third party is concerned with a dispute, that party is to be arrayed as a necessary or proper party to the adjudication of main issue centering around the dispute. Besides this, an opportunity of hearing is to be given to a third party to explain its stand. Suffice it for this Tribunal to make a pertinent mention that the rules of 'principles of Natural Justice' are to be adhered to by the Tribunal because of the latent and patent fact that the act of Tribunal/ Court/ Competent Authority shall cause no harm to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing of affidavit on the issues therein and the filing of parawise reply. The time was sought for and one week's time was granted by the Tribunal. Because of the fact that the impugned order passed by the Tribunal wherein direction was issued in all cases of the 'Insolvency & Bankruptcy Code' and Company Petition, the Union of India, Ministry of Corporate Affairs through Secretary be impleaded as a party respondent so that authentic record is made available by the officers of Ministry of Corporate Affairs for proper appreciation of the matter and this being applicable throughout the country to all the Benches of National Company Law Tribunal etc., such a wholesale, blanket and omnibus directions cannot be issued in single stroke, as opined by this Tribunal. Whether the Appellant through the Secretary, Ministry of Corporate Affairs be impleaded as a necessary Party/ even as proforma Respondent before the Tribunal is to be determined only on a case to case basis when the need of a given case arises for rumination of issues, which comes up before the respective Tribunals and when an order like the impugned one is passed by the 'Tribunal' or 'Competent Authority& ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ee Metaliks Ltd. v. Union of India (2017) 203 Com Cases 442 : (2017) 140 CLA 30 (Cal). 19. Be that as it may, after going through the impugned order, this Tribunal comes to an inevitable and irresistible conclusion that the directions issued in respect of Application No.2024/ 19 filed by the Resolution Professional to implead the 'Secretary of Ministry of Corporate Affairs' as party Respondent in all cases of I&B Code is nothing but beyond the power of the Tribunal and it tantamounts to imposition of a new rule in a compelling fashion. In short, the impugned order making it applicable throughout the country to all the Benches of the National Company Law Tribunal is untenable one and the said order suffers from material irregularity and patent illegality in the eye of Law. As a logical corollary, this Tribunal, this Tribunal set aside the impugned order dated 22.11.2019 in (IB)-939(PB)/2018 in furtherance of substantial cause of justice. Consequently, the present Appeal succeeds. 20. In fine, the Company Appeal No.1417 of 2019 is allowed. The impugned order dated 22.11.2019 in (IB)-939(PB)/2018 passed by the National Company Law Tribunal, New Delhi, Principal Bench is set- ..... X X X X Extracts X X X X X X X X Extracts X X X X
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