Guwahati: Justice Sharad Kumar Sharma has recused himself from a National Company Law Appellate Tribunal (NCLAT) case concerning the Corporate Insolvency Resolution Process (CIRP) of a Hyderabad-based company, following attempts by an external party to influence his decision.
According to an NCLAT order dated August 13, Justice Sharma disclosed that he had been approached by “one of the most revered members of the higher judiciary” seeking a favourable order. Citing the importance of judicial integrity, he chose to step aside, necessitating the reassignment of the case to another bench by the NCLAT chairperson.
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“We are anguished to observe that one of us, Member (Judicial), has been approached by one of the most revered members of the higher judiciary of this country for seeking an order in favour of a particular party. Hence, I recuse to hear the matter,” the order stated, as reported by Bar and Bench.
Member (Technical) Jatindranath Swain, who was also part of the bench, expressed similar concerns over preserving the impartiality of the judicial process.
This is not the first time Justice Sharma has recused himself from cases due to external pressures. In June, he stepped aside during proceedings related to disputes involving Shri Ramalinga Mills after a party attempted to sway his judgment. Similarly, in November 2024, he recused himself from a case involving Jeppiar Cements, noting attempts at influence through his brother.
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Earlier in 2024, Justice Sharma also stepped aside from proceedings linked to Byju’s CIRP, citing potential conflicts of interest arising from his prior professional affiliations.
These recurring recusals highlight ongoing challenges in safeguarding judicial independence within the NCLAT system. Experts note that the tribunal’s measures to reassign cases and maintain transparency are critical for upholding the credibility of insolvency proceedings and reinforcing public trust in the judiciary.