Arbitrability Of Oppression, Mismanagement, And Other Prejudice Claims In India

INTRODUCTION

The famed Cyrus Mistry case¹ scandal, which surfaced recently, has sparked discussion about corporate governance and the powers of the NCLT and NCLAT. The SC clarified that the main objective of the Tribunal is to bring an end to the matters complained by providing a solution and not put an end to the company itself along with forsaking the interests of other stakeholders, as stated in the legislation itself "with a view to bringing to an end the matters complained of."² Transparency is a key necessity to corporate governance, the absence of which leads to Oppression and Mismanagement in the Company. To protect the interests of shareholders, Chapter XVI has been incorporated in the Companies Act,2013 which lays down the law relating to Oppression and Mismanagement. The 2013 Act, also conducts prejudice to any member or prejudice to the public interest, or prejudice to the interest of the company, which are all added along with oppression.