In Brief
Jai Balaji Industries challenged an order by the National Company Law Appellate Tribunal that had directed admission of a financial creditor's insolvency application against it. The Supreme Court found that the NCLAT violated the fundamental principle of natural justice by failing to serve proper notice on the appellant before hearing the appeal and pronouncing judgment. Rule 48 of the NCLAT Rules requires that notice and supporting documents be formally served; merely providing an advance copy of the appeal is insufficient. The Court set aside the NCLAT's order and remanded the matter for fresh consideration with proper notice and opportunity of hearing to the appellant."
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