Rule explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
The second half of rule 2 defines the terms that decide who is a party to a case, what counts as a petition, who is a "person interested", and which old proceedings are "transferred" to the Tribunal. These definitions are short but they control the reach of many later rules.
An interlocutory application is an application in a pending appeal or original petition, but not a proceeding to execute an order. "Party" includes the respondent and any person interested, including the Registrar of Companies, the Regional Director, the Central Government, a State Government, the official liquidator and anyone with a right under the Act or the Reserve Bank of India Act, 1934 to make suggestions, submissions, objections or reply. "Petition" covers a petition, application, appeal or complaint. A "transferred" application or petition is one moved to the Tribunal from the Company Law Board, High Court, District Court or Board for Industrial and Financial Reconstruction under section 434(1)(a), (c) and (d). This article reads the Rules as amended up to the National Company Law Tribunal (Amendment) Rules, 2020 (G.S.R. 80(E), 3 February 2020).
The definitions in rule 2(15) to (30)
| Clause | Term | Meaning |
|---|---|---|
| (15) | interlocutory application | an application in any appeal or original petition or proceeding already instituted in the Tribunal, but not a proceeding for execution of an order or direction |
| (16) | party | a person who prefers an appeal, application or petition, and includes the respondent or any person interested, including the Registrar of Companies, Regional Director, Central Government, State Government or official liquidator, and any person with a right under the Act or the RBI Act, 1934 to make suggestions, submissions, objections or reply |
| (17) | petition | a petition, application, appeal or complaint in pursuance of which any proceeding is commenced before the Tribunal |
| (18) | person interested | a shareholder, creditor, employee, transferee company and other company concerned in relation to the term or context in the relevant provisions of the Act, or any person aggrieved by any order or action of a company or its directors |
| (19) | pleadings | application (including interlocutory), petition, appeal, revision, reply, rejoinder, statement, counter claim, additional statement and reply statement, as permitted by the Tribunal |
| (20) | reference | a reference within the meaning of rule 88 |
| (21) | Registrar | the Registrar of the Tribunal and any officer to whom his powers are delegated |
| (22) | Registry | the Registry of the Tribunal or of any Bench, which keeps records of applications and documents |
| (23) | Reserve Bank | the Reserve Bank of India, with its branches and agencies as defined in the RBI Act, 1934 |
| (24) | sealed | sealed with the seal of the Tribunal |
| (25) | Secretary | the Secretary of the Tribunal or the officer to whom his powers are delegated |
| (26) | secured creditor | a creditor in whose favour a security interest is created |
| (27) | security interest | right, title, interest or claim to property created in favour of or provided for a secured creditor by a transaction securing payment or performance of an obligation, including mortgage, charge, hypothecation, assignment and encumbrance; it does not include a performance guarantee |
| (28) | section | a section of the Act |
| (29) | transferred application or petition | a proceeding transferred to the Tribunal from the Company Law Board, High Court, District Court or Board for Industrial and Financial Reconstruction under section 434(1)(a), (c) and (d) |
| (30) | other words | words defined in the Act carry the meanings given there |
Clauses that matter most in practice
Interlocutory application (15)
An application for stay, directions, condonation of delay or extension of time in a pending matter is interlocutory. Rule 32 says such applications are made in a prescribed form with a supporting affidavit; see the article on rules 31 to 33. Note that in 2016 the words "interlocutory application" were omitted from clause (5) ("application") by G.S.R. 1159(E), so the two clauses are read together: clause (15) alone defines the term. Our dispute resolution team prepares interlocutory applications alongside the main petition.
Party (16)
The definition is wide. Besides the petitioner and respondent, it includes government authorities and the official liquidator and any person with a right to be heard under the Act or the RBI Act. This is why, for instance, a notice of objection can come from the Registrar of Companies or the Regional Director. Whether a person is a necessary party in a given petition depends on the section under which it is filed, which is a matter for that section's rules.
Petition (17) and person interested (18)
"Petition" is a single word for any originating paper: petition, application, appeal or complaint. "Person interested" is the label the Act's provisions use for the people entitled to notice or to object, such as a shareholder, creditor, employee or transferee company, and a person aggrieved by an order or action of a company or its directors.
Reference (20)
A "reference" means a reference within the meaning of rule 88, which deals with references by the Registrar and the Central Government; see the article on rule 88.
Secured creditor and security interest (26)-(27)
The two definitions work as a pair. The proviso in clause (27) says security interest "shall not include a performance guarantee". A holder of a performance guarantee alone is therefore not a "secured creditor" under these Rules.
Transferred application or petition (29)
The clause names the Company Law Board, High Court, District Court and the Board for Industrial and Financial Reconstruction, as printed. These institutions have changed since 2016, so check the current law on any transfer. For the transfer of pending proceedings, see the sister article on the Transfer of Pending Proceedings Rules, 2016. Section 434 itself is covered in our post on sections 407 to 434.
Why the definitions matter
| Definition | Where it bites |
|---|---|
| Interlocutory application | Form and affidavit under rule 32; Form NCLT-1 with NCLT-3 under rule 34(3) |
| Party | Who must be served and who may object |
| Pleadings | What the Tribunal may allow beyond the petition: reply, rejoinder, additional statement |
| Reference | Rule 88 and Form NCLT-9 |
| Transferred petition | Pending proceedings from older bodies |
An example
Silverline Housing Finance Limited, a secured creditor holding a mortgage over a borrower's property, appears in a petition. Its mortgage fits the definition of security interest in clause (27). A supplier who holds only a performance guarantee from the borrower does not become a secured creditor merely because of that guarantee. Meanwhile, the Regional Director is a party under clause (16) and may file objections.
Same as before the NCLAT?
The NCLAT Rules define "interlocutory application" in nearly the same words (rule 2(f)) but limit it to an appeal; they define "party" more briefly and do not name the Registrar of Companies, the Regional Director or the Central Government. See Rules 1 and 2 of the NCLAT Rules.
Need help working out who is a party to your matter?
Who must be joined and served can decide whether a petition is complete. If you want your petition checked for parties and interlocutory applications, speak to our dispute resolution team.
Key takeaways
- An interlocutory application is made in a proceeding already instituted; it is not an execution proceeding (clause 15).
- "Party" includes government authorities and the official liquidator (clause 16).
- "Petition" means a petition, application, appeal or complaint (clause 17).
- Security interest excludes a performance guarantee (clause 27).
- Transferred matters come from the Company Law Board, High Court, District Court and BIFR under section 434(1)(a), (c) and (d) (clause 29).
Read next
- Rules 1-2: commencement and the first fourteen definitions
- Rule 88: references and complaints in Form NCLT-9
- Rules 64-65: Company Law Board cases transferred to the NCLT
- Sections 407-434: the NCLT and NCLAT
Disclaimer: Based on the National Company Law Tribunal Rules, 2016 (G.S.R. 716(E)) as amended up to the National Company Law Tribunal (Amendment) Rules, 2020 (G.S.R. 80(E)), consulted on 3 October 2026. Later amendments, fees, forms, NCLT practice directions and the Companies Act, 2013 provisions referred to should be checked. This article is general information, not legal advice; check the official text before acting.