Madras High Court Dismisses Writ Petition Challenging NCLT Day Order for Lack of Maintainability — Alternative Remedy Under Section 421 of Companies Act, 2013 Must Be Exhausted. Interim order of NCLT directing filing of reply and listing for hearing is appealable under Section 421 of Companies Act, 2013, and writ petition under Article 226 is not maintainable.

High Court: Madras High Court
  • 39
Judgement Image
Font size:
Print

Case Note & Summary

The petitioner, Dr. E. Shanthi, filed a writ petition under Article 226 of the Constitution of India before the Madras High Court challenging an interim order dated 20.08.2025 passed by the National Company Law Tribunal (NCLT), Division Bench, Court-II, Chennai in Company Appeal (CA)/828/2020. The impugned order was a day order directing the respondent to file a reply within two days and listing the petition for hearing on 29.10.2025. The petitioner contended that the order was erroneous and sought its quashing. The High Court, upon perusal of the order, noted that the NCLT had merely granted an opportunity to file a reply and fixed a hearing date. The court observed that the order was an interim order passed by the NCLT. Referring to the statutory scheme under the Companies Act, 2013, the court held that any person aggrieved by an order of the NCLT may file an appeal before the National Company Law Appellate Tribunal (NCLAT) under Section 421 of the Companies Act, 2013. Further, an appeal against an order of NCLAT lies to the Supreme Court under Section 428 of the Act. The court concluded that the writ petition under Article 226 was not maintainable in view of the availability of an alternative statutory remedy. Accordingly, the writ petition was dismissed, granting liberty to the petitioner to work out her remedy before the appropriate forum. The connected miscellaneous petitions were disposed of.

Headnote

A) Constitutional Law - Maintainability of Writ Petition - Alternative Remedy - Article 226 of the Constitution of India - Writ petition challenging an interim day order of NCLT is not maintainable when a statutory appeal lies to NCLAT under Section 421 of the Companies Act, 2013 - The court held that the petitioner must exhaust the alternative remedy before approaching the High Court under Article 226 (Paras 3-4).

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether a writ petition under Article 226 of the Constitution of India is maintainable against an interim order of the National Company Law Tribunal (NCLT) when a statutory appeal lies to the National Company Law Appellate Tribunal (NCLAT) under Section 421 of the Companies Act, 2013.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The writ petition is dismissed as not maintainable. The petitioner is at liberty to work out her remedy before the appropriate forum in the manner known to law. No costs. Connected W.M.P.No.45456 of 2025 is ordered and W.M.P.No.45457 of 2025 is closed.

Law Points

  • Writ petition under Article 226 not maintainable when alternative statutory remedy of appeal exists
  • Interim order of NCLT appealable under Section 421 of Companies Act
  • 2013
  • Exhaustion of alternative remedy principle
Subscribe to unlock Law Points Subscribe Now

Case Details

2026 LawText (MAD) (02) 245

W.P.No.40510 of 2025 AND W.M.P.No.45457 OF 2025

2026-02-23

S.M. Subramaniam, C. Kumarappan

2026:MHC:781

Mr. G. Lokeshwaran (for petitioner), Mr. A.G. Sathya Narayana (for R1), Mr. R. Sanjay, CGSC (for R11)

Dr. E. Shanthi

M/s. Unittas Multi-Speciality Hospital Pvt. Ltd. & Others

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

Writ petition under Article 226 challenging an interim order of NCLT.

Remedy Sought

Quashing of the NCLT order dated 20.08.2025 in Company Appeal (CA)/828/2020.

Filing Reason

Petitioner aggrieved by the day order of NCLT directing filing of reply and listing for hearing.

Previous Decisions

NCLT passed an interim day order on 20.08.2025 in Company Appeal (CA)/828/2020.

Issues

Whether a writ petition under Article 226 is maintainable against an interim order of NCLT when a statutory appeal lies to NCLAT under Section 421 of the Companies Act, 2013.

Submissions/Arguments

Petitioner argued that the NCLT order was erroneous and sought its quashing. Respondents likely argued that the writ petition was not maintainable due to alternative remedy.

Ratio Decidendi

A writ petition under Article 226 of the Constitution of India is not maintainable against an interim order of the National Company Law Tribunal (NCLT) because a statutory appeal lies to the National Company Law Appellate Tribunal (NCLAT) under Section 421 of the Companies Act, 2013. The alternative remedy must be exhausted before invoking the writ jurisdiction.

Judgment Excerpts

This being the Scheme under the Act, the present Writ Petition filed under Article 226 of the Constitution of India is not maintainable. Thus, the petitioner is at liberty to work out her remedy before the appropriate forum in the manner known to law.

Procedural History

The petitioner filed a writ petition before the Madras High Court challenging an interim order dated 20.08.2025 passed by the NCLT, Division Bench, Court-II, Chennai in Company Appeal (CA)/828/2020. The High Court dismissed the writ petition on 23.02.2026 on the ground of maintainability.

Acts & Sections

  • Companies Act, 2013: 421, 428
  • Constitution of India: 226
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court Madras High Court Dismisses Writ Petition Challenging NCLT Day Order for Lack of Maintainability — Alternative Remedy Under Section 421 of Companies Act, 2013 Must Be Exhausted. Interim order of NCLT directing filing of reply and listing for hearin...
Related Judgement
High Court Bombay High Court Allows Appeal in Motor Accident Claim Case Due to Erroneous Rejection by Tribunal — Involvement of Vehicle and Negligence Established. Tribunal Failed to Decide Quantum of Compensation, Leading to Remand.