Strengthening Tribunals in India | 04 Mar 2025

Source: HT 

Why in News? 

The Supreme Court (SC) is examining key issues affecting tribunals and reviewing the constitutional validity of the Tribunal Reforms Act, 2021.  

• It underscored the importance of strengthening tribunals to ensure efficient adjudication and maintain public confidence 

What is the Tribunals Reforms Act, 2021? 

• About: 
  • The Act was enacted to streamline the functioning of tribunals by dissolving certain appellate tribunals and transferring their functions to existing judicial bodies like the High Courts.  
  • It was introduced in response to the Supreme Court's ruling in the case of Madras Bar Association vs. Union of India (2021), which struck down certain provisions of the Tribunal Reforms (Rationalisation and Conditions of Service) Ordinance, 2021. 
• Key Provisions: 
  • Abolition of Tribunal: The Act dissolves multiple appellate tribunals and shifts their functions to High Courts and other judicial bodies. 
  • Search-cum-Selection Committee: It has been established to recommend the appointment of tribunal chairpersons and members. 
    • For Central Tribunals: 
      • Chairperson: Chief Justice of India (CJI) or a Supreme Court judge nominated by the CJI (casting vote). 
      • Two Secretaries nominated by the Central Government. 
      • Sitting/outgoing Chairperson of the tribunal, or a retired Supreme Court judge, or a retired Chief Justice of a High Court. 
      • Non-voting member: Secretary of the relevant Union Ministry. 
    • For State Administrative Tribunals: 
      • Chairperson: Chief Justice of the respective High Court (casting vote). 
      • Chief Secretary of the State Government. 
      • Chairman of the State Public Service Commission. 
      • Sitting/outgoing Chairperson of the Tribunal or a retired High Court Judge. 
  • Tenure and Age Limits: Tenure for Chairperson and Members 4 years, with a minimum age of 50 years.  
    • The maximum age limit is 67 years for tribunal members and 70 years for chairpersons, or completion of the 4-year tenure, whichever is earlier. 
    • Tribunal Chairpersons and Members are eligible for reappointment, with preference given to their past service. 
  • Removal of Tribunal Members: Central government on the recommendation of the Search-cum-Selection Committee can remove Chairperson or a Member. 

What areTribunals? 

• About: A tribunal is a quasi-judicial body that deals with the resolution of disputes pertaining to administration, taxation, environment, securities, etc.  
• Functions: It performs various functions, including adjudicating disputes, determining rights between parties, making administrative decisions, and reviewing existing administrative rulings. 
• Constitutional Provisions: Tribunals were introduced in the Indian Constitution through the 42nd Amendment Act, 1976, as they were not part of the original Constitution. 
  • Article 323-A: Deals with Administrative Tribunals for public service matters. 
  • Article 323-B: Provides for tribunals on various matters, including: Taxation, Foreign exchange, import and export, Industrial and labor disputes, Elections to Parliament and state legislatures, Food security. 

What are the Key Challenges Related to Tribunals? 

• Staff Shortage: The lack of presiding officers, judicial, and technical members has increased case pendency and reduced tribunal effectiveness, such as in Insolvency and Bankruptcy Code (IBC) cases, as noted by the SC. 

• Infrastructure Deficiencies: Many tribunals, including the NGT, face inadequate courtrooms, digital case management, and technical support, affecting case efficiency. The NGT’s limited reach in urban areas also restricts access to justice for marginalized communities in environmental disputes. 
• Procedural Inefficiencies: Frequent adjournments, missed deadlines, and weak enforcement hinder tribunals' efficiency, leading litigants to higher courts. 
  • For instance, the NCLT and NCLAT face severe delays, with 67% of insolvency cases exceeding the 330-day timeline under the IBC.  
• Political and Administrative Indifference: Lack of commitment, budget constraints, and cost-cutting measures by the Finance Ministry hinder tribunal efficiency, affecting infrastructure and timely appointments. 

Way Forward 

• Accelerated Appointments: Timely appointment of judicial and technical members is essential to ensure tribunals function efficiently.  
  • Additionally, structured induction training should be provided to enhance their domain expertise and decision-making capabilities. 
• Investment in Technology: Enhancing tribunal efficiency through electronic case management, digitization, e-court integration, and regional benches can streamline case tracking, reduce delays, and improve accessibility. 
• Procedural and Administrative Reforms: Tribunals should enforce strict limits on adjournments, impose cost penalties for delays, and mandate pre-litigation mediation to reduce case backlog.  
  • Strengthening registry and administrative staff will ensure efficient case scheduling and management. 
• Autonomy and Accountability: Tribunals should be granted greater autonomy to function independently, with robust oversight mechanisms to enhance transparency, minimize government interference, and ensure adequate resource allocation for efficient functioning.