Supreme Court Invalidates Provisions Of Tribunals Reforms Act, 2021
https://img-2.outlookindia.com/outlook-money-magazine/summy-art-lg.svgSummary of this article
[*]Supreme Court strikes down key provisions of the Tribunals Reforms Act, 2021 for violating separation of powers.
[*]Court says government reintroduced clauses previously quashed, undermining judicial independence.
[*]Tribunal tenure rules restored, keeping ITAT and CESTAT members in service until 62 and heads until 65.
The Supreme Court on Wednesday invalidated several sections of the Tribunals Reforms Act, 2021, ruling that the Centre had brought back provisions earlier struck down by the judiciary with only minimal alterations. According to PTI, a bench of Chief Justice B R Gavai and Justice K Vinod Chandran held that the reinstated clauses undermined the separation of powers and the independence of tribunals.
Delivering the judgment, the CJI said the court had reviewed the provisions of both the earlier Ordinance and the 2021 law. “We have compared the provisions of the Ordinance and the 2021 Act, and it shows that all provisions struck down, with minor tweaking, have been re-enacted again,” he said. “Thus, we have held that the provisions of the 2021 Act cannot be sustained as it violates separation of powers and judicial independence. It amounts to legislative overriding without curing any defects and binding judgment… It falls foul. Thus, it is struck down as unconstitutional.”
PTI reported that the bench emphasised that tackling the mounting backlog of cases could not rest solely with the judiciary and required coordinated responsibility from other branches of government. It observed that Parliament had attempted to "legislatively override" binding precedents by reintroducing provisions previously quashed.
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With the ruling, earlier judicial directions on the tenure of tribunal members stand restored. Members of the Income Tax Appellate Tribunal (ITAT) and the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) will continue in office until the age of 62, while their presidents or chairpersons will serve until 65.
The full judgment is awaited.
The verdict follows the court’s decision on 11 November to reserve orders on petitions questioning the constitutional validity of the Tribunals Reforms (Rationalisation and Conditions of Service) Act, 2021. The law had dissolved multiple appellate bodies, including the Film Certification Appellate Tribunal, and altered norms for appointments, age limits, and tenure across the tribunal system.
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