NCLAT Chennai member recuses after saying retired HC judge contacted him for favourable order

Justice Sharad Kumar Sharma, Judicial Member of the Chennai Bench of the National Company Law Appellate Tribunal (NCLAT), on Wednesday recused from hearing a matter after disclosing in open court that one of the litigating parties had attempted to approach him through a retired High Court judge to secure a favourable order..Sources told Bar & Bench that Justice Sharma referred to a message he had received on his mobile phone and showed it to the lawyers involved in the case before stepping away from the case. The contents of the message were not disclosed in court and remain unknown..The proceedings concern an appeal filed in 2023 challenging an order admitting a Hyderabad-based company into the Corporate Insolvency Resolution Process (CIRP) under the Insolvency and Bankruptcy Code (IBC). The appeal was listed before a two-member coram at the NCLAT Chennai and was listed for orders today. However, with Justice Sharma's recusal, the matter is now expected to be placed before the chairperson for constitution of a fresh coram to hear the case..Similar recusal in November 2024.In November 2024, the same member had recused from a different matter involving Jeppiar Cements after recording in an order that he had been approached by his “real brother” with a request to reserve the case for orders.The order dated November 18, 2024, stated:“Since I have been approached by my real brother who has dropped in the following messages...With a very sorry note, I refuse to hear this appeal. Let the matter be placed before the Hon’ble Chairperson for the nomination of another bench.”That case was being heard by Justice Sharma and Technical Member Jatindranath Swain. It arose from a plea by Jeppiar Cements’ former director to set aside the CIRP initiated against the company on the ground that all dues to financial creditors had been settled. The matter had been pending before the Chennai Bench since October 2022..Earlier in 2024, Justice Sharma recused from hearing matters pertaining to the CIRP of Byju's as it was initiated on a plea filed by Board of Control for Cricket in India (BCCI), for whom he had previously appeared as a lawyer in many cases.