[M.P.
Act No. 12 of 1984] [7th April-1984] Received the assent of the President on 7-4-1984, assent
first published in the Madhya Pradesh Gazette (Extraordinary), dated 11-4-1984. An Act to provide in public interest for the acquisition and
transfer of the industrial undertakings known as the Jaora Sugar Mills Limited,
Jaora, and the Seth Govindram Sugar Mills, Mahidpur Road with a view to
securing the proper management of such industrial undertakings so as to
subserve the interest of the general public by ensuring the. continuity of
production of sugar which is vital to the needs of the country and for matters
connected therewith or incidental thereto; Whereas the Jaora Sugar Mills Limited, Jaora and the Seth
Govindram Sugar Mills, Mahidpur Road had been engaged in the manufacture and
production of sugar mentioned in the First Schedule to the Industries
(Development and Regulation) Act, 1951; And whereas the management of the undertakings of the Jaora
Sugar Mills Limited, Jaora and Seth Govindram Sugar Mills, Mahidpur Road were
taken over by the Central Government under Section 18-AA of the Industries
(Development and Regulation) Act, 1951; And whereas it is necessary in public interest to acquire the
undertakings of the Jaora Sugar Mills Limited, Jaora and the Seth Govindram
Sugar Mills, Mahidpur Road inter-alia to ensure that the interest of
the general public are served by the continuance by the undertakings of the
Company, of the production of sugar which is vital to the needs of the country
and to prevent labour unrest; Be it enacted by the Madhya Pradesh Legislature in the
Thirty-fifth Year of the Republic of India as follows :- CHAPTER I Preliminary (1)
This
Act may be called the Jaora Sugar Mills Tatha Seth Govindram Sugar Mills
(lipkramon Ka Arjan Aur Antaran) Adhiniyam, 1984. (2)
It
shall come into force at once. In this Act, unless the context otherwise requires,- (a)
"appointed
day" means the 17th February, 1984; (b)
"commissioner" means
the Commissioner of Payments appointed under Section 15; (c)
"company" means,- (i)
the
Jaora Sugar Mills Limited, Jaora a company within the meaning of the Companies
Act, 1956 (No. 1 of 1956) and having its registered office at Jaora, district
Ratlam in the State of Madhya Pradesh, or (ii)
Seth
Govindram Sugar Mills, Mahidpur Road a branch of properties of Messrs. Kaluram
Govindram Bajaj Khana Jaora, district Ratlam in the State of Madhya Pradesh. (d)
"custodian" means
the Custodian appointed under sub-section (2) of Section 9 to take over and to
carry on, the management of the undertakings, of the Company; (e)
"co-operative
society" means a co-operative society of the workers of the
respective company employed in relation to its undertakings and of the cane
growers of the respective assigned and reserved areas of the factory within the
meanings of clause (j) of Section 2 and Sections 15 and 16 of the Madhya
Pradesh Sugar Cane (Regulation of Supply and Purchase) Act, 1958 (No. 1 of
1959) formed and registered under the Madhya Pradesh Co-operative Societies
Act, 1960 (No. 17 of 1961) with a view to secure distribution of ownership for
common good of cane growers and workers and with the object of securing
participation of workers in the management of the respective company, and in
which the undertakings of the Company are directed to vest under sub-section
(1) of Section 6; (f)
"date
of taking over" means the date on which the management of the Seth
Govindram Sugar Mills Mahidpur Road, District Ujjain or the Jaora Sugar Mills
Ltd. Jaora, District Ratlam, as the case may be, was taken over by an
authorised person by virtue of the order of the Government of India in the
Ministry of Industry, Department of Industrial Development No. S.O. 774(E)
18-AA/ IDRA/80, dated the 12th September, 1980 and S.O. 775(E)18-AA/IDRA/80,
dated the 12th September, 1980 respectively made under sub-section (1) of Section
18-AA of the Industries (Development and Regulation) Act, 1951 (No. 65 of
1951); (g)
"Government
Company" means the Government Company or a co-operative society, as
the case may be, in which the undertakings of the company are directed to vest
under sub-section (1) of Section 6; (h)
"specified
date" in relation to any provision of this Act, means such date as
the State Government may, by notification specify for the purposes of that
provision and different dates may be specified for different provisions of this
Act; (i)
"owner
in relation to Company" means the person to whom the concerned
undertaking belongs and who is in the ultimate control over the affairs of the
company with reference to the concerned undertaking; (j)
words
and expressions used herein and not defined but defined in the Companies Act,
1956 (No. 1 of 1956) shall have the meanings respectively, assigned to them in
that Act. CHAPTER II Acquisition and Transfer of the Undertakings of the
Company On the appointed day, the undertakings of either company, and
the right, title and interest of the owners of the company in relation to its
undertakings, shall, by virtue of this Act, stand transferred to, and shall
vest in, the State Government. (1)
The
undertakings of either company shall be deemed to include all assets, rights,
lease-holds, powers, authorities and privileges, and all properties movable and
immovable, including lands, buildings, workshops, stores, instruments, plant
and machinery and equipments, cash balances, cash on hand, cheques, demand
drafts, reserve funds, investments, book debts and all other rights, title and
interests in, or arising out of, such properties as were immediately before the
appointed day in the ownership, possession, power or control of the company,
whether within or outside India, and all books of accounts, registers and all
other documents of whatever nature relating thereto. (2)
All
properties as aforesaid which have vested in the State Government under Section
3 shall, by force of such vesting, be treed and discharged from any trust,
obligation, mortgage, charge, lien and all other encumbrances affecting them,
and any attachment, injunction, decree or order of any Court, tribunal or other
authority restricting the use or enjoyment of such properties in any manner or
appointing any receiver in respect of the whole or any part of such properties,
shall be deemed to have been withdrawn. (3)
Every
mortgagee of any property which has vested under this Act in the State
Government and every person holding any charge, lien or other interest in, or
in relation to, any such properly shall give, within such time and in such
manner as may be prescribed, an intimation to the Commissioner of such
mortgage, charge, lien or other interest. (4)
For
the removal of doubts, it is hereby declared that the mortgagee of any property
referred to in sub-section (3) or any other person holding any charge, lien or
other interest in, or in relation to, any such property shall be entitled to
claim, in accordance with his rights and interests, payment of the mortgage
money or other dues, in whole or in part, out of the amount determined under
Section 7 but no such mortgage, charge, lien or other interest shall be
enforceable against any property which has vested in the State Government. (5)
Any
licence or other instrument granted to, the company in relation to any
undertaking which has vested in the State Government under Section 3 at any
time before the appointed day and in force immediately before that day shall
continue to be in force on and after such day in accordance with its tenor in
relation to and for the purposes of such undertaking, and, on and from the date
of vesting of such undertaking under Section 6 in a Government Company, such
Government company shall be deemed to be substituted in place of the company
referred to therein in such licence or other instrument as if such licence or
other instrument had been granted to such Government company and that
Government company shall hold it for the remainder of the period for which the
company would have held it under the terms thereof. (6)
If,
on the appointed day, any suit, appeal or other legal proceeding of whatever
nature in relation to any properly which has vested in the Stale Government,
under Section 3, instituted or preferred by or against the company is pending,
the same shall not abate, be discontinued or be, in any way, prejudicially
affected by reason of the transfer of the undertakings of the company or of
anything contained in this Act, but the suit, appeal or other legal proceeding
may be continued, prosecuted or enforced by or against the State Government, or
where the undertakings of the company are directed, under Section 6, to vest in
a Government company, by or against such Government company. (1)
Every
liability of the company in respect of any period prior to the appointed day,
shall be the liability of the company and shall be enforceable against the
owners of the company and not against the State Government, or, where the
undertakings of the company are directed, under Section 6, to vest in a
Government company, against the Government company. (2)
For
the removal of doubts, it is hereby declared that- (a)
save
as otherwise expressly provided in this section or in any other provision of
this Act no liability of the company in respect of any period prior to the
appointed day, shall be enforceable against the State Government, or, where the
undertakings of the company are directed, under Section 6, to vest in a
Government company, against such Government company; (b)
no
award, decree or order of any Court, tribunal or other authority in relation to
the undertakings of the company, passed after the appointed day, in respect of
any matter, claim, cause of action or dispute which in each case arose before
that day, shall be enforceable against the State Government, or, where the
undertakings of the company are directed, under Section 6, to vest in a
Government company, against such Government company. (c)
no
liability incurred by the company before the appointed day, for the
contravention of any provision of law for the time being in force, shall be
enforceable against the State Government, or, where the undertakings of the
company are directed, under Section 6, to vest in a Government Company against
such Government company. (1)
Notwithstanding
anything contained in Sections 3 and 4 the State Government may, subject to
such terms and conditions as it may think lit to impose, direct, by
notification, that the undertakings of the company and the right, title and
interest of the company in relation to its undertakings, which have vested in
that Government, under Section 3, shall, instead of continuing to vest in the
State Government, vest in a Government company or a co-operative society either
on the date of the notification or on such earlier or later date (not being a
date earlier than the appointed day) as may be specified in the notification. (2)
Where
the right, title and interest of the company, in relation to its undertakings,
vest in a Government company or a Co-operative Society under sub-section (1),
the Government company or the co-operative society, as the case may be, shall,
on and from the date of such vesting, be deemed to have become the owner in
relation to such undertakings and all the rights and liabilities of the State
Government in relation to such undertakings shall on and from the date of such
vesting, be deemed to have become the right and liabilities as the case may be
of the Government company or the co-operative society. CHAPTER III Payment of Amounts (1)
For
the transfer to, and vesting in the State Government, under Section 3, of the
undertakings of the company and the right, title and interest of the company in
relation, to its undertakings, there shall be, given by the State Government to
the company, amount calculated and determined in accordance with the provisions
of this chapter. (2)
The
amount payable to the company in relation to the concerned undertaking shall be
calculated and determined as under :- (a)
value
of sugar stocks calculated at ex-factory market price prevailing immediately
before the appointed day, minus basic excise duty in lieu of sales tax leviable
thereon; (b)
value
of stock of molasses at the price prevailing immediately before the appointed
day; (c)
value
of actual stock of sugarcane at the actual cost of purchase; (d)
value
of sugar in the process of production or any bagasse or press mud at the market
value; (e)
book
value of the other assets as shown in the last balance sheet: Provided that whenever sugar stocks are disposed of, so much
of the sale proceeds as are referable to quantity pledged or hypothecated with
any banking institution or financier, and against which such institution or
financier may have made advances, shall be payable to such institution or
financier as the case may be, in discharge of advances inclusive of interest
and other incidental charges if any, and the balance, if any, remaining
thereafter shall be payable to the
Commissioner for payments. (1)
The
State Government for the purpose of calculating and determining the amount
payable to the company under Section 7, shall appoint by order in writing, a
person as Special Officer. The Special Officer shall have the power to regulate
his procedure in all matters arising out of the discharge of his functions
including the place or places at which he will hold his sittings and shall, for
the purpose of making any investigation under this Act, have the same powers as
vested in a Civil Court in the Code of Civil Procedure, 1908 (No. 5 of 1908)
while trying a suit in respect of the following matters, namely:- (a)
the
summoning and enforcing the attendance of any witness and examining him on
oath; (b)
the
discovery and production of any document or other material object producible as
evidence; (c)
the
reception of evidence on affidavits; (d)
the
issuing of any commission for the examination of witnesses. (2)
Any
investigation before the Special Officer shall be deemed to be a judicial
proceeding within the meaning of Sections 193 and 228 of the Indian Penal Code,
1860 (No. 45 of 1860) and the Special Officer shall be deemed to be a Civil
Court for the purposes of Section 195, Section 345 and Section 346 of the Code
of Criminal Procedure, 1973 (No. 2 of 1974). CHAPTER IV Management, etc. of the Undertakings of the Company (1)
The
general superintendence, direction, control and management of the affairs and
business of the undertakings of the company the right, title and interest in
relation to which have vested in the State Government under Section 3, shall,- (a)
where
a direction has been made by the State Government under sub-section (1) of
Section 6, vest in the Government company specified in such direction; or (b)
where
no such direction has been made by the State Government, vest in one or more
Custodians appointed by the State Government sub-section (2), of this section
and thereupon the Government company so specified or the Custodian or
Custodians so appointed, as the case may be, shall be entitled to exercise, to
the exclusion of all other persons, all such powers and do all such things as the
Company is authorised to exercise and do in relation to its undertakings. (2)
The
State Government may appoint one or more individuals as the Custodian or
Custodians of the undertakings of the Company in relation to which no direction
has been made by it under sub-section (1) of Section 6. (3)
The
Custodian or Custodians so appointed shall receive, from the funds of the
undertakings of the company such remuneration and allowances as the State
Government may fix and shall hold office during the pleasure of the State
Government. (1)
On
the vesting of the management of the undertakings of the company in a
Government company or on the appointment of a Custodian or Custodians all
persons in charge of the management of the undertakings of the company
immediately before such vesting or appointment, shall be bound to deliver to
the Government company or the Custodian or Custodians, as the case may be, all assets,
books of account, registers or other documents in their custody relating to the
undertakings of the Company. (2)
The
State Government may issue such directions as it may deem desirable in the
circumstances of the case to the Government company or the Custodian or
Custodians, and such Government company or the custodian or custodians may
also, if it is considered necessary so to do apply to the State Government at
any time for instructions as to the manner in which the management of the
undertakings of the company shall be conducted or in relation to any other
matter arising in the course of such management. (1)
Any
person who has, on the appointed day, in his possession or under his control,
any assets, books, documents or other papers relating to any undertaking owned
by the Company, which have vested in the State Government or in a Government
company under this Act and which belong to the company, or would have so
belonged, if the undertakings owned by the company had not vested in the State
Government or such Government company, shall be liable to account for the said
assets, books, documents and other papers to the State Government or the
Government company and shall deliver them up to the State Government or such
government company or to such person or persons as the State Government or the
Government company may specify in this behalf. (2)
The
State Government or the Government company aforesaid may take or cause to be
taken all necessary steps for securing possession of the undertakings of the
Company which have vested in the State Government or the Government company
under this Act. (3)
The
company shall, within such period as the State Government may allow in this
behalf, furnish to that Government a complete inventory of all its properties
and assets, as on the appointed day, pertaining to the undertakings which have
vested in the State Government under Section 3 and, for this purpose, the State
Government or the Government company aforesaid shall afford to the company all
reasonable facilities. The Custodian or Custodians of the undertaking of the company
shall maintain an account of the undertakings of the company in such form and
manner and under such conditions as may be prescribed and the provisions of the
Companies Act, 1956 (No. 1 of 1956) shall apply to the audit of the accounts so
maintained as they apply to the audit of the accounts of a company. CHAPTER V Provisions Relating to the Employees of the Company (1)
Every
person who has been, immediately before the appointed day, employed in any
undertaking of the company shall become,- (a)
on and
from the appointed day, an employee of the State Government; and (b)
where
the undertakings of the company are directed, under sub-section (1) of Section
6 to vest in a Government company, an employee of the Government company on and
from the date of such vesting; and shall hold office or service under the State Government,
or the Government company, as the case may be, with the same rights and
privileges, if any, as to pension, gratuity and other matters as would have
been admissible to him if there had been no such vesting and shall continue to
do so unless and until his employment under the State Government or the
Government company, as the case may be, is duly terminated or until his
remuneration and other conditions of service are duly altered by the State
Government or the Government company, as the case may be. (2)
Notwithstanding
anything contained in the Madhya Pradesh Audyogik Sambandh Adhiniyam, 1960 (No.
27 of 1960) or in any other law for the time being in force, the transfer of
the services of any officer or other person employed in any undertaking of the
Company, to the State Government or the Government company, as the case may be,
shall not entitle such officer or other employee to any compensation under this
Act or any other law for the time being in force and no such claim shall be
entertained by any Court, tribunal or other authority. Explanation. - "Person employed in any undertaking
of the company" shall not include (i) casual labour, or (ii) persons in
part-time employment, or (iii) persons in employment not during the whole year
but only during the crushing season. (1)
Where
the Company has established a provident fund, a superannuation, welfare or
other fund for the benefit of the persons employed in any of its undertakings
the moneys relatable to the officers or other employees whose services have
become transferred by or under this Act to the State Government or the
Government company, shall out of the moneys standing, on the appointed day, to
the credit of such provident fund, superannuation, welfare or other fund, stand
transferred to, and vest in, the State Government or the Government company, as
the case may be. (2)
The
moneys which stand transferred under sub-section (1) to the State Government or
the Government company, as the case may be, shall be dealt with by the
Government or Government company in such manner as may be prescribed. CHAPTER VI Commissioner of Payments (1)
The
State Government shall, for the purpose of disbursing the amounts payable to
the Company under Section 7 by notification, appoint a Commissioner of
Payments. (2)
The
State Government may appoint such other persons as it may think fit to assist
the Commissioner and thereupon the Commissioner may authorise one or more of
such persons also to exercise all or any of the powers exercisable by him under
this Act and different persons may be authorised to exercise different powers. (3)
Any
person authorised by the Commissioner to exercise any of the powers exercisable
by the Commissioner may exercise those powers in the same manner and with the
same effect as if they have been conferred on that person directly by this Act
and not by way of authorisation. (4)
The
salaries and allowances of the Commissioner and other persons appointed under
this section shall be defrayed out of the Consolidated Fund of the State. (1)
The
State Government shall, on determination of the amount by Special Officer under
Section 8 pay in cash to the Commissioner, for payment to the Company, an
amount so determined. (2)
A
deposit account shall be opened by the State Government in favour of the
Commissioner in the Public Account of State and every amount paid under this
Act to the Commissioner shall be deposited by him to the credit of the said
deposit account and the said deposit account shall be operated by Commissioner. (3)
Records
shall be maintained by the Commissioner in respect of the undertakings of the
Company in relation to which payments have been made to him under this Act. (4)
Interest
accruing on the amount standing to the credit of the deposit account referred
to in sub-section (2) shall be ensured to the benefit of the Company. (1)
The
State Government or the Government company, as the case may be, shall be
entitled to receive, up to the specified date to the exclusion of all other
persons, any money due to the Company in relation to its undertakings which
have vested in the State Government or the Government company, and realised
after the appointed day, notwithstanding that the realisation pertains to a
period prior to the appointed day. (2)
The
State Government or the Government company as the case may be, may make a claim
to the Commissioner with regard to every payment made by that Government or
Government company after the appointed day, for discharging any liability of
the Company in relation to any period prior to the appointed day, and every
such claim shall have priority, in accordance with the priorities attaching
under this Act, to the matter in relation to which such liability has been
discharged by the State Government or the Government company. (3)
Save
as otherwise provided in this Act, the liabilities of the Company in respect of
any transaction prior to the date of taking over which have not been discharged
shall be the liabilities of the owner of the Company. Every person having a claim against the Company with regard
to any of the matters specified in the Schedule pertaining to any undertaking
owned by it shall prefer such claim before the Commissioner within thirty days
from the specified date : Provided that if the Commissioner is satisfied that the
claimant was prevented by sufficient cause from preferring the claim within the
said period of thirty days, he may entertain the claim within a further period
of thirty days, but not thereafter. The claims made under Section 18 shall have priorities in
accordance with the following principles, namely:- (a)
Category
I shall have precedence over all other categories and Category II shall have
precedence over Category III, and so on; (b)
the
claims specified in each of the categories shall rank equally and be paid in
full, but, if the amount is insufficient to meet such claims in full, they
shall be paid "pro rata"; and (c)
the
question of discharging any liability with regard to a matter specified in a
lower category shall arise only if a surplus is left after meeting all the
liabilities specified in the immediately higher category. (1)
On
receipt of the claims made under Section 18, the Commissioner shall arrange the
claims in the order of priorities specified in the Schedule and examine the
same in accordance with such order. (2)
If,
on examination of the claims, the Commissioner is of opinion that the amount
paid to him under this Act is not sufficient to meet the liabilities specified
in any lower category, he shall not be required to examine the claims in
respect of such lower category. (1)
After
examining the claims with reference to the priorities specified in the
schedule, the Commissioner shall fix a certain date on or before which every
claimant shall file the proof of his claim and issue a notice to that end. (2)
Not
less than fourteen days' notice of the date so fixed shall be given by
advertisement in one issue of any daily newspaper in the English language
having circulation in the major part of the country and in one issue of any
Hindi newspaper with daily circulation and every such notice shall call upon
the claimant to file the proof of his claim with the Commissioner within the
period specified in the advertisement. (3)
Every
claimant who fails to file the proof of his claim within the period specified
by the Commissioner shall be excluded from the disbursements made by the
Commissioner. (4)
The
Commissioner shall, after such investigation as may, in his opinion, be
necessary and after giving the Company an opportunity of refuting the claim and
after giving the claimant a reasonable opportunity of being heard, by order in
writing, admit or reject the claim in whole or in part. (5)
The
Commissioner shall have the power to regulate his own procedure in all matters
arising out of the discharge of his functions, including the place or places at
which he may hold his sitting and shall, for the purpose of making any investigation
under this Act, have the same powers as are vested in a Civil Court under the
Code of Civil Procedure, 1908 (5 of 1908), while trying a suit, in respect of
the following matters, namely :- (a)
the
summoning and enforcing the attendance of any witness and examining him on
oath; (b)
the
discovery and production of any document or other material object producible as
evidence; (c)
the
reception of evidence on affidavits; (d)
the
issuing of any commission for the examination of witnesses. (6)
Any
investigation before the Commissioner shall be deemed to be a judicial
proceeding within the meaning of Section 193 and 228 of the Indian Penal Code,
1860 (No. 45 of 1860) and the Commissioner shall be deemed to be a Civil Court
for the purposes of Section 195, Section 345 and Section 346 of the Code of
Criminal Procedure, 1973 (No. 2 of 1974). (7)
A
claimant who is dissatisfied with the decision of the Commissioner may prefer
an appeal against such decision within a period of thirty days from the date
thereof to the principal Civil Court of original jurisdiction within the local
limits of whose jurisdiction the registered office of the Company is situated. (8)
The
appellate Court referred to in sub-section (7) shall send for the record of the
case and hear and decide the appeal and towards this end it shall as far as may
be exercise the same powers and follow the same procedure as it can exercise
and follow in relation to an appeal from a decree of a Civil Court subordinate
to it, under the Code of Civil Procedure, 1908 (No. 5 of 1908). (9)
The
High Court may call for the record of the appeal which has been decided by the
appellate authority under sub-section (8), as well as the record of the
original case and may make such order in the case as it thinks fit and for this
purpose may exercise revisional jurisdiction on grounds analogous to those
specified in Section 115 of the Code of Civil Procedure, 1908 (No. 5 of 1908): Provided that the power of revision at the instance of any
person aggrieved shall not be exercised unless such person submit a petition
for revision within ninety days of the date of decision in appeal. (10)
The
order of the Commissioner, subject to decision in appeal or revision as the
case may be, shall be final and conclusive. After admitting a claim under this Act the amount due in
respect of such claim shall be paid by the Commissioner to the person or
persons to whom such amount is due, and on such payment, the liability of the
company in respect of such claim shall stand fully discharged. If, out of the moneys paid to him, in relation to the
undertakings of the company, there is a balance left after meeting the
liabilities as specified in the Schedule, the Commissioner shall disburse such
balance to the owner of the company. Any money paid to the Commissioner which remains undisbursed
or unclaimed on the date immediately preceding the date on which the office of
the Commissioner is finally wound up, shall be transferred by the Commissioner
before his office is finally wound up, to the general revenue account of the
State Government; but a claim to any money so transferred may be preferred to
the State Government by the person entitled to such payment and shall be dealt
with as if such transfer had not been made, and the order, if any, for the
payment of the claim being treated as an order for the refund of revenue. CHAPTER VII Miscellaneous The provisions of this Act shall have effect notwithstanding
anything inconsistent therewith in any other law for the time being in force or
in any instrument having effect by virtue of any law, other than this Act or in
any decree or order of any Court, tribunal or other authority. Every contract entered into by the Company in relation to any
of its undertakings, which has vested in the State Government under Section 3,
for any service, sale or supply, and in force immediately before the date of
taking over shall, on and from the expiry of a period of thirty days from the
dale of commencement of this Act cease to have effect unless such contract is
before the expiry of that period, ratified in writing, by the custodian on
behalf of the State Government or Government company in which such undertaking
has been vested under this Act and in ratifying any such contract the custodian
or the Government company may make such alterations or modifications therein as
he or it may think fit: Provided that the custodian or the Government company shall
not omit to ratify a contract and shall not make any alteration or modification
in a contract- (a)
unless
it is satisfied that such contract is unduly onerous or has been entered into
in bad faith or is detrimental to the interests of the State Government or the
Government company; and (b)
except
after giving the parties to the contract a reasonable opportunity of being
heard and except after recording in writing its reasons for refusal to ratify
the contract or for making any alteration or modification therein. Any person who,- (a)
having
in his possession, custody or control any property forming part of the
undertakings of the Company, wrongfully withholds such property from the State
Government or the Government company; or (b)
wrongfully
obtains possession of, or retains, any property forming part of the
undertakings of the company; or (c)
wilfully
withholds or fails to furnish to the State Government or the Government company
or any person or body of persons specified by the Government or Government
company, any document relating to such undertakings, which may be in his
possession, custody or control; (d)
fails
to deliver to the State Government or the Government company or any person or
body of persons specified by that Government or Government company, any assets,
books of account, register or other documents in his possession, custody or
control, relating to the undertakings of the Company; or (e)
wrongfully
removes or destroys any property forming part of the undertakings of the
Company or prefers any claim under this Act which he knows or has reasonable
cause to believe to be false or grossly inaccurate; shall be punishable with imprisonment for a term which may
extend to two years, or with fine which may extend to ten thousand rupees, or
with both. (1)
Where
an offence under this Act has been committed by a company, every person who at
the time the offence was committed was in charge of, and was responsible to,
the company for the conduct of the business of the company, as well as the company,
shall be deemed to be guilty of the offence and shall be liable to be proceeded
against and punished accordingly : Provided that nothing contained in this sub-section shall
render any such person liable to any punishment, if he proves that the offence
was committed without his knowledge or that he had exercised all due diligence
to prevent the commission of such offence. (2)
Notwithstanding
any thing contained in sub-section (1), where any offence under this Act has
been committed by a company and it is proved that the offence has been
committed with the consent or connivance of, or is attributable to any neglect
on the part of, any director, manager, secretary or other officer of the
company, such director, manager, secretary or other officer shall be deemed to
be guilty of that offence and shall be liable to be proceeded against and
punished accordingly. Explanation. - For the purposes of this section,- (a)
"Company" unless
the context otherwise requires, means any body corporate and includes a firm or
other association of individual-and (b)
"director" in
relation to a firm, means a partner in the firm. (1)
No
suit, prosecution or other legal proceeding shall lie against the State
Government or any officer or the other employee of the Government or Custodian
or the Government company or other person authorised by the Government,
Custodian or Government company for anything which is in good faith done or
intended to be done under this Act. (2)
No
suit or other legal proceeding shall lie against the State Government or any
officer or other employee of the Government or the Custodian or the Government
company or other person authorised by that Government, Custodian or Government
company for any damage caused or likely to be caused by anything which is in
good faith done or intended to be done under this Act. (1)
The
State Government may, by notification, direct that all or any of the powers
exercisable by it under this Act, other than the powers conferred by this
section and Section 31 may also be exercised by such person or persons as may
be specified in the notification. (2)
Whenever
any delegation of power is made under sub-section (1), the person to whom such
power has been delegated shall act under the direction, control, and
supervision of the State Government. (1)
The
State Government may, by notification, make rules for carrying out the
provisions of this Act. (2)
In
particular, and without prejudice to the generality of the foregoing power,
such rules may provide for all or any of the following matters, namely :- (a)
the
time within which, and the manner in which, an intimation referred to in
sub-section (3) of Section 4 shall be given; (b)
the
form and manner in which, and the conditions under which, the Custodian or
Custodians shall maintain the accounts as required by Section 12; (c)
the
manner in which the moneys in any provident fund or other fund referred to in
Section 14 shall be dealt with; (d)
any
other matter which is required to be, or may be, prescribed. (3)
Every
rule made by the State Government under this Act shall laid on the table of the
Legislative Assembly. If any difficulty arises in giving effect to the provisions
of this Act, the State Government may, by order, not inconsistent with the
provisions of this Act, remove the difficulty. For sub-clause (ii) of clause (c) of Section 2 of the
Ordinance repealed by Section 34 the sub-clause (ii) of clause (c) of Section 2
of this Act shall be deemed to have been substituted with effect from the 17th
February, 1984. The Jaora Sugar Mills Tatha Seth Govindram Sugar Mills
(Upkramon Ka Arjan Aur Antaran) Adhyadesh, 1984 (No. 4 of 1984) is hereby
repealed. The
Schedule [See Sections 18, 20 (1), 21 (1) and 23] Order
of Priorities for the Discharge of Liabilities of the Company Category I.-(i) Advances by Bank on stock of sugar made after
take over of management under Section 18-AA of the Industries (Development and
Regulation) Act, 1951 (No. 65 of 1951). (ii) ??Wages, salaries, arrears in relation to
contributions to be made by the company to the provident fund and other dues of
the employees of the company for the period before and after take over of
management under Section 18-AA of the Industries (Development and Regulation)
Act, 1951 (No. 65 of 1951). (iii) ??Amount payable to cane growers in respect of
price of sugar cane for the period after take over of management under Section
18-AA of the Industries (Development and Regulation) Act, 1951 (No. 65 of
1951). (iv) ??Amount due to cane growers for the period
before take over of management under Section 18-AA of the Industries
(Development and Regulation) Act, 1951 (No. 65 of 1951). Category II.-Loans advanced by the Central Government or the
State Government, or any credit availed of by the company for the purpose of
carrying on any trading or manufacturing operation during the period of lake
over of management under Section 18-AA of the Industries (Development and
Regulation) Act. 1951 (No. 65 of 1951). Category III.-Revenue taxes, cesses, rates or any other dues
to the Central Government or a State Government for the period of take over of
management under Section 18-AA of the Industries (Development and Regulation)
Act, 1951 (No. 65 of 1951). Category IV.-Advances by Bank before take over of management
under Section 18-AA of the Industries (Development and Regulation) Act, 1951
(No. 65 of 1951) on stock of sugar. Category V.-(i) Any credit availed of by the company for the
purpose of carrying on any trading or manufacturing operation before lake over
of management under Section 18-AA of the Industries (Development and
Regulation) Act, 1951 (No. 65 of 1951). (ii) ?Any other dues for the
period before take over of management under Section 18-AA
of the Industries (Development and Regulation) Act, 1951 (No. 65 of 1951).Jaora
Sugar Mills Tatha Seth Govindram Sugar Mills (Upkramon Ka Arjan Aur Antaran)
Adhiniyam, 1984