1. The Tribunal may, after giving the parties to any proceeding before it, a reasonable opportunity of being heard, pass such orders thereon as it thinks fit.
2. The Tribunal may, at any time within two years from the date of the order, with a view to rectifying any mistake apparent from the record, amend any order passed by it, and shall make such amendment, if the mistake is brought to its notice by the parties:
Provided that: no such amendment shall be made in respect of any order against which an appeal has been preferred under this Act.
Legal Commentary & Landmark Judgments: Section 420
Section 420 governs the passing of orders by the National Company Law Tribunal, mandating adherence to principles of natural justice and conferring a 2-year statutory power to rectify mistakes apparent from the record.
Sub-section (3) requires sending copies of all orders to all parties concerned.
Section 420(2) is a frequent procedural battleground before NCLT benches. Rectification of an order is strictly confined to 'mistakes apparent from the record'—such as typographical, calculation, or undisputed factual errors. The NCLT cannot utilize Section 420(2) to review its substantive legal findings or rehear matters on merits; any substantive challenge must be pursued as an appeal to the NCLAT under Section 421.