Recently, India’s Supreme Court (SC) has put forth a challenge to the government to justify its rationale behind introducing the Tribunal Reforms Bill of 2021. This Bill is set to replace the previously quashed Tribunals Reforms (Rationalisation and Conditions of Service) Ordinance, 2021.
Issues Raised by the Supreme Court
Firstly, the SC has pointed out what it perceives as an “unconstitutional legislative overriding”. The Court claims that there was insufficient discussion regarding the bill, and that the government is attempting to reintroduce provisions previously struck down in the Madras Bar Association case from 2021.
Secondly, the Court accuses the Centre of blatantly ignoring repeated directives aimed at ensuring the efficient functioning of the Tribunals. The provisions of the ordinance pertaining to the conditions of service and tenure of Tribunal Members and Chairpersons were previously ruled against by the Supreme Court.
The third issue is the security of tenure. The Tribunal Reforms Act, 2021 excludes persons under the age of 50 from appointments to tribunals, potentially undermining the security of tenure.
Finally, the SC believes the bill contravenes the principle of separation of powers. It does this by granting the Central Government authority over decisions made by the selection Committee.
Vacancy Issues within the Tribunals
India currently operates 16 tribunals, including the National Green Tribunal, the Armed Forces Appellate Tribunal, and the Debt Recovery Tribunal, among others. These bodies are plagued with staffing issues, with a large number of unfilled positions affecting their functionality.
Adverse Impact on Decision-making Process
The bill stipulates that cases will be immediately transferred to High Courts or commercial civil courts. This could prove detrimental to the decision-making process, as these courts lack specialisation in specific areas.
About the Tribunals Reforms Bill, 2021
The Bill intends to dissolve certain appellate bodies and delegate their duties to other existing judicial bodies. For instance, disputes previously heard by the Film Certification Appellate Tribunal will be adjudicated by the High Court.
In addition to this, the Bill plans to merge existing tribunals according to domain. An example being the consolidation of the Competition Appellate Tribunal with the National Company Law Appellate Tribunal.
Procedures for Appointments
The Tribunals Reforms Bill stipulates that appointment of the Chairperson and Members of the Tribunals is to be recommended by a Search-cum-Selection Committee and approved by the central government.
Criteria and Terms for Appointments
The Bill states that appointments will last for four years, subject to an upper age limit of 70 years for Chairpersons, and 67 years for members. There is also a minimum age requirement of 50 years for these positions.
Removing Tribunal Members
According to the bill, the central government, upon recommendation by the Search-cum-Selection Committee, can remove any Chairperson or Member from office.
The Function and Importance of Tribunals
The term ‘Tribunal’ originates from the Latin word ‘Tribunes’, meaning ‘Magistrates of the Classical Roman Republic’. It refers to quasi-judicial institutions established to deal with certain issues such as administrative or tax-related disputes. They have several functions, including dispute resolution and making administrative decisions.
Constitutional Provisions for Tribunals
While not part of the original constitution, Tribunals were later incorporated into the Indian Constitution by the 42nd Amendment Act of 1976. The Central government has a specified role in adjudicating conflicts pertaining to inter-state rivers among state/regional governments as per Article 262 of the Indian Constitution.
Last Modified: February 13, 2024