Home India Ministry of Corporate Affairs Parliament Question: Delay in Payment to Contractual Staff i...
Date: 2025-08-11 Category: Not Applicable State: Union Government Country: India

Parliament Question: Delay in Payment to Contractual Staff in NCLT

Issued by Ministry of Corporate Affairs · Not Applicable

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Executive Summary & Key Takeaways

**Summary:** This document summarizes the Indian Ministry of Corporate Affairs' response to Lok Sabha Unstarred Question No. 3557, addressed on August 11, 2025, regarding delays in salary payments to contractual and outsourced staff at the National Company Law Tribunal (NCLT). The question raised by Shri Vishaldada Prakashbapu Patil inquired about the government's awareness of salary delays at the NCLT Mumbai bench, the reasons for such delays, the payment status across all 17 NCLT benches, and planned measures to ensure timely payments. The Minister of State in the Ministry of Corporate Affairs, Shri Harsh Malhotra, acknowledged a single instance of salary delay in December 2024 at the NCLT Mumbai bench due to administrative and procedural reasons, which was promptly resolved. The response clarifies that the general superintendence and control of officers and staff, including contractual and outsourced personnel, rests with the NCLT as per the Companies Act. The Ministry provides the necessary funds to the NCLT based on budgetary availability and NCLT's requirements. The NCLT is then responsible for distributing funds to its benches. The Ministry has delegated financial powers to the NCLT to ensure its smooth operation since its inception. The response does not indicate a broader assessment of payment status across all 17 NCLT benches beyond the identified instance in Mumbai.

Key Entities Referenced

SHRI VISHALDADA PRAKASHBAPU PATIL: Member of Parliament who raised the question in Lok Sabha regarding delays in salary payments at NCLT. MINISTRY OF CORPORATE AFFAIRS: The government ministry responsible for matters related to companies and corporate affairs, including the NCLT. LOK SABHA: The lower house of the Parliament of India, where the question regarding NCLT salary delays was raised. NCLT: National Company Law Tribunal, a quasi-judicial body in India that adjudicates issues relating to Indian companies. NCLT Mumbai bench: A specific branch of the National Company Law Tribunal located in Mumbai, Maharashtra, which experienced salary payment delays. HARSH MALHOTRA: Minister of State in the Ministry of Corporate Affairs and Minister of State in the Ministry of Road Transport and Highways, who provided the answer to the question in Lok Sabha. Companies Act: The legislation governing the establishment, operation, and regulation of companies in India. It outlines the responsibilities and powers of the NCLT.
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GOVERNMENT OF INDIA MINISTRY OF CORPORATE AFFAIRS LOK SABHA UNSTARRED QUESTION NO. 3557 ANSWERED ON MONDAY, THE 11th of AUGUST, 2025/ SRAVANA 20, 1947 (SAKA) DELAY IN PAYMENT TO CONTRACTUAL STAFF IN NCLT QUESTION 3557. SHRI VISHALDADA PRAKASHBAPU PATIL : Will the Minister of CORPORATE AFFAIRS be pleased to state: (a) whether the Government is aware that there is delay in payment of salary to contractual and outsourced staff at the NCLT Mumbai bench; (b) if so, the reasons for the delay; (c) whether the Government has assessed the status of payment of salary across the other 16 NCLT benches; (d) if so, the details thereof and if not, the reasons therefor; (e) whether the Government is planning to introduce measures to ensure timely payment of salaries to contractual and outsourced staff across all NCLT benches; and (f) if so, the details thereof and if not, the reasons therefor? MINISTER OF STATE IN THE MINISTRY OF CORPORATE AFFAIRS; AND MINISTER OF STATE IN THE MINISTRY OF ROAD TRANSPORT AND HIGHWAYS (HARSH MALHOTRA) (a) to (f) There was a particular instance of delay in the month of December, 2024 towards the payment of salary to contractual and outsourced staff at NCLT Mumbai bench due to administrative and procedural reasons. The same was addressed and resolved immediately. As per the Companies Act, the general superintendence and control of the officers and staff vest with the NCLT, including engagement of such contractual and outsourced staff. The requisite funds are made available to NCLT by the Ministry, based on the requirement of the NCLT and availability of the Budget. NCLT in turn distributes it to its benches in the relevant head of expenditure. Ministry has delegated financial powers to NCLT, for smooth running of the NCLT since its inception. ***********

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