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Section 427: President, Members, officers, etc., to be public servants

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Act 2013
Section 426 All 470 Sections of Companies Act Section 428
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Company Sec 2(20) Director Sec 2(34) Tribunal Sec 2(90)

Legal Commentary & Landmark Judgments: Section 427

Section 427 confers the legal status of public servants under Section 21 of the Indian Penal Code (and Section 2(28) of Bharatiya Nyaya Sanhita, 2023) on the President, Chairperson, Members, and administrative officers of the Tribunal and Appellate Tribunal.

  • Statutory Deeming Fiction: Deems every Member, Chairperson, President, Registrar, and employee of the NCLT and NCLAT to be a public servant while discharging statutory functions.
  • Criminal Immunity and Accountability Correlative: Extends criminal law protections against obstruction and assault while simultaneously subjecting officers to the Prevention of Corruption Act, 1988 for corrupt practices or abuse of authority.
  • Territorial and Operational Reach: Applies across all Principal and Regional Benches, covering both quasi-judicial determinations and ministerial registry operations.
Key Landmark Precedents:
  • K. Veeraswami v. Union of India, (1991) 3 SCC 655: Affirmed that judicial officers and members of superior tribunals fall within the statutory ambit of public servants, balancing independence with accountability under anti-corruption statutes.
  • State of Gujarat v. Manshankar Prabhashankar Dwivedi, (1972) 2 SCC 392: Held that statutory deeming fictions designating officials as public servants must be given full effect within their legislative context.
  • R.S. Nayak v. A.R. Antulay, (1984) 2 SCC 183: Clarified the criteria determining public servant status, emphasizing discharge of public duty under statutory authority.
Courtroom Practice & Strategic Litigation Guidance:

When prosecuting allegations of corruption against registry officials or tribunal staff, ensure statutory sanction under Section 19 of the Prevention of Corruption Act, 1988 is obtained, as Section 427 clothes them with the full protection of public servant status.

Section 426 All 470 Sections of Companies Act Section 428