NCDRC Decrees Cannot Be Enforced Against Promoters Without Proven Liability, Court Clarifies: Supreme Court
Supreme Court of India has delivered an important ruling clarifying that consumer court orders passed against a company cannot automatically be enforced against its directors or promoters. The Court held that unless personal liability of directors is specifically pleaded, adjudicated, and fixed in the original proceedings, execution cannot be extended against them merely because the company has failed to comply with the order. Bench and Nature of the Case The…