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Lok Sabha Introduces Tribunals Reforms Bill to Repeal 2021 Legislation

On Monday, the government introduced a new bill in the Lok Sabha seeking to repeal the Tribunals Reforms Act, 2021.

The Tribunals Reforms Bill, 2026, introduced in Lok Sabha two days ago on August 10, 2026, seeks to overhaul India’s tribunal system by repealing the Tribunals Reforms Act, 2021, which previously governed appointments and service conditions for tribunals. The move follows the Supreme Court’s earlier invalidation of certain provisions in the 2021 Act, which were deemed to undermine the separation of powers and judicial independence. The proposed legislation aims to align with judicial directives by establishing the National Tribunals Commission (NTC), a body tasked with overseeing selections, performance reviews, and disciplinary inquiries for tribunal members, as well as managing a centralized National Tribunals Data Grid. This reform addresses longstanding concerns about governance and accountability within tribunals, reflecting efforts to strengthen institutional frameworks while adhering to constitutional principles.

On Monday, the Lok Sabha introduced the Tribunals Reforms Bill, 2026, which proposes to replace the 2021 Tribunals Reforms Act by establishing a National Tribunals Commission (NTC) to oversee appointments, performance reviews, and disciplinary processes for tribunal members, alongside managing a centralized data grid (PRS India). The legislation, passed by the Rajya Sabha on Tuesday, aims to address longstanding concerns about executive influence over tribunals while aligning with Supreme Court directives to uphold judicial independence and separation of powers (The Hindu).

The Bill abolishes the 2021 Act, which the Supreme Court had partially invalidated for enabling executive overreach into tribunal operations, compromising their autonomy (PRS India). The proposed NTC will comprise a chairperson with Supreme Court or High Court Chief Justice experience, two judicial members from High Court backgrounds, and two technical members with at least 25 years of expertise in fields like law, finance, or technology. Members will serve five-year terms or until age 70, with appointments made by the central government after consulting the Chief Justice of India for judicial roles (PRS India). A search-cum-selection committee, headed by the NTC chairperson for tribunal chairperson appointments and a judicial member for regular member roles, will recommend candidates, with the central government mandated to finalize appointments within three months (PRS India).

Tribunals, designed to resolve specialized disputes efficiently, have long operated under administrative frameworks that risked conflicts of interest, as they were often managed by the same ministries whose decisions they reviewed. Supreme Court rulings in S.P. Sampath Kumar (1987) and L. Chandra Kumar (1997) affirmed tribunals’ utility but emphasized their subordination to judicial review. In Rojer Mathew (2019), the Court urged the creation of an independent NTC to insulate tribunals from executive control, a recommendation ignored until the 2021 Act reinstated provisions the judiciary had struck down. The 2025 Madras Bar Association verdict finally compelled the government to reintroduce reforms, giving Parliament four months to establish the NTC (The Hindu).

While the 2026 Bill restores five-year terms for tribunal members and introduces uniform service conditions, critics argue it falls short of ensuring full NTC autonomy. Sections 14 and 16 delegate critical decisions—such as member qualifications and complaint procedures—to executive rules, contravening the Supreme Court’s emphasis on legislative clarity in Rojer Mathew. Additionally, the NTC remains financially and administratively tied to the central government, with ministries retaining initial oversight of complaints before they reach the Commission. Experts warn that without greater insulation from executive influence, the NTC’s ability to enforce impartiality and accountability across tribunals will remain constrained (The Hindu).

Cited sources

PRS India