Context:
SC issued show cause notices to two members of National Company Law Appellate Tribunal for not initiating contempt proceedings against them for allegedly defying its directions in a dispute relating to Finolex Cables.
What are Show cause notices?
- It is a formal document issued by court, competent authorities etc. when a person/company is held responsible for misconduct.
- Purpose – To give employee / person an opportunity to defend themselves and provide evidence or explanations before any disciplinary action is taken.
About Contempt of Court (CoC):
- Not defined by the Indian Constitution
- Seeks to protect judicial institutions from motivated attacks and unwarranted criticism
- As a legal mechanism to punish those who lower its authority.
- Provisions related to CoC:
- One of the “reasonable restrictions” listed under Article 19(2) [Fundamental right to freedom of speech and expression]
- Article 129 conferred on Supreme Court the power to punish contempt of itself
- Article 215 conferred on High Courts the power to punish contempt of itself.
- Statutory backing – Contempt of Courts Act, 1971
- Civil contempt: Wilful breach of an undertaking given to a court
- Criminal contempt: Publication by words, signs, or otherwise of any matter which lowers any court authority
- Punishment: Simple imprisonment for a term up to 6 months and/or a fine of up to ₹2,000
About NCLAT:
- Constituted under Section 410 of the Companies Act, 2013
- Purpose – To hear appeals against the orders of the National Company Law Tribunal (NCLT), a quasi-judicial body that adjudicates issues relating to companies.
- Appellate tribunal for orders passed by the –
- NCLTs under Section 61 of the Insolvency and Bankruptcy Code (IBC), 2016
- Insolvency and Bankruptcy Board of India (IBBI) under Sections 202 and 211 of the IBC.
- Any person aggrieved by any order of the NCLAT may file an appeal to the Supreme Court.
Source: Indian Express
Previous Year Question
Consider the following statements:
1. Pursuant to the report of H.N. Sanyal Committee, the Contempt of Courts Act, 1971 was passed.
2. The Constitution of India empowers the Supreme Court and the High Courts to punish for contempt of themselves.
3. The Constitution of India defines Civil Contempt and Criminal Contempt.
4. In India, the Parliament is vested with the powers to make laws on Contempt of Court.
Which of the statements given above is/are correct?
[UPSC Civil Services Exam – 2022 Prelims]
(a) 1 and 2 only
(b) 1, 2 and 4
(c) 3 and 4 only
(d) 3 only
Answer: (b)
