Cabinet approves New Delhi International Arbitration Centre Bill, 2019
Undertakings
of International Centre For Alternative Dispute Resolution to be
transferred to New Delhi International Arbitration Centre w.e.f 2nd
march, 2019
The Bill seeks to replace Ordinance and will be introduced in the ensuing Parliament Session
Making
India as the hub of International Arbitration has been one of the
pioneering initiatives of the Prime Minister Shri Narendra Modi led NDA
Government. Setting up of an independent an autonomous regime for
institutionalized domestic and international arbitration are a step in
this direction.
The
Union Cabinet chaired by Prime Minister Shri Narendra Modi
approvedtoday the Bill New Delhi International Arbitration Centre
(NDIAC) Bill, 2019 for introduction in the ensuing session of
Parliament.
Impact:
The
benefits of institutionalized arbitration will be manifold for the
Government and its agency and to the parties to a dispute.
This will result in quality experts being available in India and also an advantage in terms of cost incurred.
It will facilitate India becoming a hub for institutional arbitration.
Implications:
The
Bill provides for setting up of an independent an autonomous body for
institutional arbitration and to acquire and transfer the undertakings
of International Centre For Alternative Dispute Resolution (ICADR) to
New Delhi International Arbitration Centre (NDIAC)w.e.f a specified date
2nd march, 2019.
Implementation:
The
Bill replaces the New Delhi International Arbitration Centre Ordinance,
2019, promulgated by President on 02.03.2019 for the creation of an
independent and autonomous regime for institutionalized domestic and
international arbitration and establishing India as an International Hub
of Arbitration.
The
Bill provides for the repeal of the New Delhi International Arbitration
Centre Ordinance, 2019 and saves all the actions done or taken under
the Ordinance which will be deemed to have been done or taken under the
provisions of this Bill.
Background:
It
has been the endeavor of the Government of India to establish an
independent and autonomous institution for resolving International and
domestic commercial disputes expeditiously by Alternative Dispute
Resolution (ADR) mechanism. In this regard, a High-Level Committee
(HLC), headed by Mr. Justice B.N. Srikrishna, former Judge of the
Supreme Court of India, was constituted in the year 2017. The HLC
recommended that the Government may take over the International Centre
For Alternative Dispute Resolution (ICADR), an existing institution
which has been established in the year 1995 using the public funds and
develop it as an Institution of National Importance.
Taking
into consideration the HLC's recommendations, a Bill, namely the New
Delhi International Arbitration Centre (NDIAC) Bill 2018 was approved
for introduction in the Parliament by the Cabinet in its meeting held on
15th December, 2017. The Bill was introduced in the Lok Sabha on 5th January, 2018 and was passed by the Lok Sabha on 4th
January, 2019. The New Delhi International Arbitration Centre Bill,
2018 could not be taken up for consideration and passing by the Rajya
Sabha in its 248th Session. Thereafter, the Parliament was adjourned sine die on 13th February, 2019.
The
President, in view of the importance of the matter and urgency to make
India a hub of institutionalized arbitration and promote 'Ease of Doing
Business' in India, promulgated an Ordinance namely "The New Delhi
International Arbitration Centre Ordinance, 2019" on 2nd
March, 2019. In view of the provisions of the Article 107 (5) and 123
(2) of the Constitution, the New Delhi International Arbitration Centre
Bill, 2019 is proposed to be introduced in the Parliament which will
replace the New Delhi International Arbitration Centre Ordinance, 2019.
NDIAC – the future International Hub of Arbitration.
The
New Delhi International Arbitration Centre (NDIAC) will be headed by a
Chairperson, who has been a Judge of the Supreme Court or a Judge of a
High Court or an eminent person, having special knowledge and experience
in the conduct or administration of arbitration, law or management, to
be appointed by the Central Government in consultation with the Chief
Justice of India. Besides, it will also have two Full-time or Part-time
Members from amongst eminent persons having substantial knowledge and
experience in institutional arbitration in both domestic and
international. In addition, one representative of a recognized body of
commerce and industry shall be nominated on rotational basis as a
Part-time Member. The Secretary, Department of Legal Affairs, Ministry
of Law & Justice, Financial Adviser nominated by Department of
Expenditure, Ministry of Finance and Chief Executive Officer, NDIAC will
be ex-officio Members.
Aims and objectives of NDIAC :-
(a) bring targeted reforms to develop itself as a flagship institution for conducting international and domestic arbitration
(b) provide facilities and administrative assistance for conciliation, mediation and arbitral proceedings;
(c)
maintain panels of accredited arbitrators, conciliators and mediators
both at national and international level or specialists such as
surveyors and investigators;
(d) facilitate conducting of international and domestic arbitrations and conciliation in the most professional manner;
(e)
provide cost effective and timely services for the conduct of
arbitrations and conciliations at Domestic and International level;
(f)
promote studies in the field of alternative dispute resolution and
related matters, and to promote reforms in the system of settlement of
disputes; and
(g)
co-operate with other societies, institutions and organisations,
national or international for promoting alternative dispute resolution.
********
(Release ID: 1574073)
Source: Press Information Bureau (PIB)
No comments:
Post a Comment