Corruption in Judiciary and the need to bring an urgent mechanism to deal with it.
1. One of my clients, an MSME, Perfect Infraengineers Ltd., engaged in the manufacture of Hybrid Thermal Solar Panels, received a call from one Ms. Mahi Bhatt on 23rd March, 2024, claiming to be representing the members of NCLT-I, Mumbai, demanding a bribe of Rs. 75 lakhs. The NCLT in the forenoon that day had adjourned an application under Section 7 of the IBC filed by a financial creditor, for pronouncement of orders. The caller informed by client that if the payment is not made, the NCLT will appoint an IRP. In other words, her company would be taken over and sold. Nothing can be deemed to be an absolute truth unless one has seen it with one’s own eyes. But the overwhelming circumstances in this case left with me with little choice but to believe my client. The reason: the tribunal had never heard my client. The case was never argued because my client was before the Bombay High Court and later in the Supreme Court seeking protection under the MSMED Act. On 8.7.2024, the SC allowed my client’s appeal and directed the Bombay High court to reconsider its decision on my client’s rights as an MSME.
2. Since the NCLT did not accede to my client’s plea for an opportunity to be heard, she approached the High Court of Bombay and the High Court in turn directed the NCLT to hear her application for an opportunity to be heard, as also her plea for recusal. Immediately on the order of the Supreme Court allowing my client’s SLP being passed, I made a request that no orders be passed till a copy of the order of the SC is made available. However, paying no heed to my client’s plea, the NCLT passed an order on 15.7.2024 appointing the IRP, causing injury to my client.
3. What is stated above is not an isolated instance. Every lawyer, except the progeny, face similar situations, blatant injustice more frequently than one would believe.
4. Judicial corruption and unjust and arbitrary decisions, it is no exaggeration to say, is almost the order of the day. The reason is that a person aggrieved by an unjust and illegal order of a court or tribunal has no means to remedy the injustice suffered by him except to seek correction by way of appeal or revision, or Articles 226, 32 and 136. The judicial officer who has acted unfairly or who is even guilty of corrupt practices, face no adverse consequence at all. Our judges are not accountable to anyone. Once a lawyer is appointed as a judge of the High Court, often for considerations of kinship and connections more than anything else, he is a de facto emperor, accountable to none. Ever since I had joined the bar four decades back, there has been a discussion on judicial accountability and the need to bring into existence a credible system where litigants and lawyers aggrieved by the willful denial of justice on account of corruption and other malpractices could secure justice. However, such efforts have not seen the light of day. The Judicial Standards and Accountability Bill, 2010, continues to remain in cold storage. What is still worse is the Ninety Nine Constitution (Amendment) Act and the NJAC Act intended to bring in open selection and transparency in judicial appointments being aborted before its birth by a judicial coup headed by Adv. Fali Nariman.
5. With the 2024 General Elections refusing to give a clear majority to the BJP, it is very unlikely that the Government would muster the courage to usher in any mechanism for judicial accountability, much less abolish the collegium which has proven to be a synonym for nepotism and favouritism. The scenario that emerges is least promising. With the advent of the PILs, the Supreme Court has usurped to itself unthinkable powers. For the opposition, irrespective of the political ideology, PIL has been a means to corner the government. The Opposition, also, is therefore, very unlikely to take any interest in judicial reforms.
6. The question, therefore, is who then will strive for reforms in judiciary. It is left to the common man, ordinary litigant and the lawyers who represent them and ethical journalists. The 140 crore people of this country. All that is required is to wake them up from their slumber. I started the campaign titled NLC in 2010 on the conviction that judicial reforms are not impossible. All that is required is a push. I call upon every one of you join the campaign and spread the word.
Forward this message.
