Report No. 188
Summary of Recommendations our important conclusions and recommendations in this report are summarised below:-
1. Purpose to expedite commercial cases of high pecuniary value
The purpose of the proposals in this report is to expedite commercial cases of high pecuniary value and create confidence in the commercial circles, within India and outside, that our Courts are quite fast, if not faster than Courts elsewhere.
The last decade has brought about phenomenal changes leading to enormous growth in the commerce and industrial sector of India. The policies of the Government have changed radically from 1991, the year in which our economy was opened up to foreign investment in a big way. Privatisation, liberalization and globalisation have resulted in giving a big boost to our economy. At the same time, world has become very much competitive. With such rapid increase in commerce and trade, commercial disputes involving high stakes are likely to increase. Unless, there is new and effective mechanism for resolving them speedily and efficiently, progress will be retarded.
The overall benefits that may accrue to the economy of the country as a whole by the establishment of the Commercial Division will, in our opinion, be in several hundreds of crores of Rupees. In view of the present era of globalisation and liberalization, investment in India, both domestic and foreign is bound to increase tremendously once the investors of the world know with certainty and assurance that the Commercial Division in the High Courts in India will dispose of the matters within a maximum period of two years which is comparable to the period of pendency in USA or UK.
The expense involved in establishment of the Commercial Division will, in our view, be a small fraction of the overall benefits that will accrue to the economy of the country. Investors will make freely investment in business ventures without fear of blocking their substantial business capital in undue prolonged litigation in courts. The proposed changes are likely to render the overall market friendly change in investment in business scenario.