DIFFERENCE BETWEEN COMPANY LAW BOARD AND NATIONAL COMPANY LAW

TRIBUNAL

 The Company Law Board (CLB) is a quasi-judicial body, exercising equitable

jurisdiction, which was earlier being exercised by the High Court or the Central
Government. The Board has powers to regulate its own procedures. To check the
mismanagement in the functioning of a company, the Central government of India has
set up a tribunal called the National Company Law Tribunal. The National
Company Law Tribunal or NCLT is a quasi-judiciary body established in India,
which makes a formal judgment on a disputed matter, relating to the companies issues
in India.
 The Company Law Board has jurisdiction on issues like oppression and
mismanagement, compounding, refusal to transmit/transfer shares, inspection,
investigation, restriction of shares and debentures. The National Company Law
Tribunal, once fully operational, will consolidate the corporate jurisdiction of the
Company Law Tribunal, Board of Industrial and Financial Construction, Appellate
Authority for Industrial and Financial Reconstruction, Jurisdiction and powers
relating to winding up.
 There is no provision for amicus curiae in Company Law Board. Whereas, in the
National Company Law Tribunal, the Draft National Company Law Tribunal
Rules, 2013 (Draft rules) enable the NCLT to appoint Amicus Curiae for opinion on
various legal issues.
 In Company Law Board, until now, Company Secretariats, Chartered Accountants,
Cost Accountants could represent their clients only before the CLB, the scope of
which was limited. The draft rules for National Company Law Tribunal enable
other professionals to represent their clients in matters pertaining to mergers/winding-
up before the NCLT.
 Shareholders in Company Law Board have always been allowed to protest against
the wrong doings of the management. With the constitution of the National
Company Law Tribunal, shareholders and creditors can now file class action against
the company.