MIZORAM KHADI AND VILLAGE
INDUSTRIES BOARD ACT, 1982 THE MIZORAM KHADI AND VILLAGE INDUSTRIES
BOARD ACT, 1982 [1] [Act No. 03 of 1985] [20th March, 1985] An Act to provide for the better organization, development
and regulation of Khadi and Village Industries in the Union territory of
Mizoram and for establishment and constitution of Khadi and Village Industries
Board for the said Union territory, and for matters connected therewith and
incidental there to. Be it
enacted by the Legislative Assembly of Mizoram in the Thirty-third Year of the
Republic of India as follows: (1)
This Act may be called the Mizoram Khadi and
Village Industries Board Act, 1982. (2)
It extends to the whole of the Union
territory of Mizoram. (3)
It shall come into force on such date as the
Government may, by notification in the Gazette, appoint. In
this Act, unless the context otherwise requires, (a)
"Board" means the Mizoram Khadi and
Village Industries Board, established under section 3; (b)
"Chairman" means Chairman of the
Board; (c)
"Commission" means the Khadi and
Village Industries Commission established under section 4 of the Khadi and Village
Industries Commission Act, 1956(Central Act 61 of 1956); (d)
"Gazette" means the Mizoram
Gazette; (e)
"Government" meant the Government
of Mizoram; (f)
"Khadi" means any cloth woven on
handlooms in India from cotton, silk or woolen yarn handspun in India or from a
mixture of any two or all of such yarns and includes readymade garments made
out of such cloths; (g)
"member" means a member of the
Board; (h)
"prescribed" means prescribed by
rules made under this Act; (i)
"regulations" means regulations
made by the Board under this Act; (j)
"Village Industries" means? (a)
all or any of the Khadi and Village
Industries Commission Act, 1956, and includes any other industry deemed to be specified in the said Schedule by reason of a
notification issued by the Central Government under section 3 of the said Act;
and (b)
any other industry specified in this behalf
by the Government, by notification in the Gazette, in consultation with the
Commission and the Board; (k)
" Union territory" means the Union
territory of Mizoram. Chapter II - MIZORAM KHADI AND VILLAGE INDUSTRIES BOARD (1)
With effect from such date as the Go-and
incorporation Government may, by notification in the Gazette, fix in this of
Board behalf, there shall be established a Board to be called the Mizoram Khadi
and Village Industries Board. (2)
The Board shall be a body corporate having
perpetual succession and a common seal with power to acquire, hold and dispose
of property and to contract and may, by the said name, sue and be sued. (1)
The Board shall consist of such number of
members as the Government may appoint. (2)
One of the member of the Board shall be
appointed by the Government as the Chairman of the Board. (3)
The Government may appoint one of the other
members as the Vice-Chairman who shall exercise such of the powers and perform
such of the duties of the Chairman as may be prescribed or as may be delegated
to him by the Chairman. (4)
The Government shall after consultation with
the Board, appoint one of the other members (other than the Chairman and the
Vice-Chairman) as the Secretary of the Board. (1)
The Chairman, the Vice-Chairman, the
Secretary or any other member of the Board may, at any time resign his office by
submitting his resignation in writing to the Government. Provided that the
resignation shall not take effect until it is accepted. (2)
In the event of any vacancy in the office of
a member of the Board by reason of death, resignation or removal such vacancy
shall be filled up by appointment by the Government and the member appoints in
such vacancy shall hold office for the unexpired term of his predecessor. (1)
The Chairman, the Vice-Chairman, the
Secretary or any other member of the Board shall receive such allowances and at
such rates as may be prescribed; (2)
The allowances to the members shall be paid
from the fund of the Board; The
Government may appoint a person not being a member of the Board, as Financial
Adviser and Chief Accounts Officer of the Board. He shall hold office for such
period as the Government may, by general or special order, direct and unless
otherwise directed by the Government, he shall receive his salary and
allowances from the fund of the Board; (1)
The Government may appoint an officer of its
own to act as the Chief Executive Officer of the Board. He shall hold office
for such period as the Government may, by general or special order, direct and
unless otherwise directed by the Government, he shall receive his salary and
allowances from the fund of the Board; (2)
Subject to the general control and
supervision of the Secretary, the Chief Executive Officer shall- (a)
be responsible for the implementation of the
plans and programmes of the Board; (b)
be responsible for the administration of the
fund and maintenance of accounts of the Board; (c)
submit periodical progress report, receipts
and expenditure statement and balance sheet to the Boards; (d)
be the Controlling Officer of the members of
the staff of the Board. No act
or proceeding of the Board shall be questioned or be invalidated merely by
reason of any vacancy in its membership on account of resignation, death or
otherwise or by reason of any defect in the constitution thereof. (1)
The Board may associate with itself in such
manner and for such purposes as may be determined by regulations made under
this Act, any person whose assistance or advice it may desire in complying with
any of the provisions of this Act. (2)
A person associated with the Board under
sub-section (1) for any purpose shall have the right to take part in the
discussions of the Board relevant to that purpose, but shall not have the right
to vote and shall not be a member for any other purposes. (3)
The Government may, by order, depute one or
more officers of the Government to attend any meeting of the Board and to take
part in the discussions of the Board, but such officer or officers shall not
have the right to vote. (1)
The Board shall meet and shall, from time to
time make arrangements with respect to date, time, notice, management and
adjournments of its meetings as it thinks fit. Such meetings shall be held at
least once in every three months; Provided that when the Chairman, in
consultation with the Secretary or Chief Executive Officer, decides that an
emergency meeting of the Board should be called in the interest of the Board,
he shall fix date, time, and place for the same. (2)
The Chairman shall preside over the meeting
of the Board and in his absence the Vice-Chairman and in the absence of both, a
member elected in the meeting from among the members shall preside. (3)
All questions at a meeting of the Board shall
be decided by the majority of the votes of the members present and voting and
in the case of an equality of votes the Chairman or in his absence the
Vice-Chairman and in absence of both, the member presiding, shall have a second
or casting vote: (4)
The proceedings of the meeting of the Board
shall be forwarded to the Government and the Commission within fifteen days of
every meeting. The
term of office and the terms and conditions of service the Chairman, the
Vice-Chairman, the Secretary and other members of the Board shall be such as
may be prescribed. (1)
The Chairman of the Board shall preside over
the meeting of the Board and shall take decision when the Board or the
Executive Committee is not in session. (2)
The Vice-Chairman, if any appointed, shall in
the absence of the Chairman, exercise all the powers of the Chairman or such
powers as may be delegated to him by the Chairman. (3)
The Secretary shall exercise such powers and discharge
such duties as may be prescribed or as may, from time to time, be delegated to
him by the Government or by the Chairman. (1)
The Board may appoint such other officers and
staff as it may consider necessary for the efficient discharge of its
functions. (2)
The remuneration, allowances and other
conditions of services of the officers and members of the staff of the Board
shall be such as may be determined the Board. The
Board may constitute from among the members of the Board a Standing Finance
Committee relating to finances of the Board. The
Board may, from time to time, appoint one or more Committees for the purposes
of securing the efficient discharge of its functions and in particular, for the
purpose of securing that the functions are discharged with due regard to the
circumstances and requirement of Khadi or any particular Village Industry. Such
Commit tees may be appointed for any particular area or areas. Chapter III - POWERS AND FUNCTIONS OF THE BOARD (1)
It shall be the duty of the Board to
encourage, organise, develop and regulate Khadi and Village Industries and
perform such functions as the Government may prescribe from time to time. (2)
Without prejudice to the generality of the
provisions of subsection (1), the Board shall also in particular discharge and
perform all or any of the following duties and functions, namely- a)
to start, encourage, asstt. and carry on
Khadi and Village Industries and to carry on trade or business in such
industries and in the matters incidental to such trade or business; b)
to help the people by providing them with
work in their homes and to give loan and other form of monetary help to
individuals or registered societies or registered institutions on such terms as
may be prescribed; c)
to encourage establishment of co-operative
societies for Khadi and Village Industries; d)
to conduct training centres and to train
people with a view to equipping them with the necessary knowledge for starting
or carrying on Khadi and Village Industries; e)
(i) to manufacture tools and implements
required for carrying on Khadi and Village Industries and to manufacture the
products of such Industries. (ii) ??to arrange
for the supply of raw-materials and tools and implements required for the same
purposes; and (iii) ??to sell and
to arrange for the sale of the products of the said industries; f)
to arrange for publicity and popularizing of
finished products of Khadi and Village Industries by opening store shops,
emporia or exhibitions and to take similar measures for the purpose; g)
to endeavour to educate public opinion and to
impress upon the public, the advantages of patronizing the products of Khadi
and Village Industries; h)
to seek and obtain advice and guidance of
experts in Khadi and Village Industries; i)
to undertake and encourage research work in
connection with the Khadi and Village Industries and to carry on such
activities as are incidental and conducive to the objects of this Act; j)
to discharge such other duties and to perform
such other functions as the Government may direct for the purpose of carrying
out the objects of this Act; The
Board shall, for the purpose of carrying out its functions under this Act, gave
the following powers, namely:- (i)
to acquire and hold such moveable and
immovable property as it deems necessary and to lease, sell, or otherwise
transfer any such property; Provided
that any lease, sale, mortgage, hypothecation or other transfer to any persons
or authority other than the Commission of any immovable property belonging to
the Board shall be null and void unless it is sanctioned by the Government; (ii)
to incur expenditure and undertake any work
in any area in the Union territory for the framing and execution of such
schemes as it may consider necessary for the purpose of carrying out the
provisions of this Act, or as may be entrusted to it by the Government; (iii) to borrow money from the Commission and also to hypothecate or mortgage properties as securities against
the loans; (iv) to write off minor irrecoverable losses as provided for under
section 35 of this Act. (1)
The Board may enter into and perform all such
contracts as it may consider necessary or expedient for carrying out any of the
purposes of this Act. (2)
Every contract shall be made on behalf of the
Board by its Chairman Provided
that the Chairman may, by an order, in writing delegate his powers in this
behalf to the Vice-Chairman, Secretary or Chief Executive Officer. (3)
Every contract made on behalf of the Board
shall, subject to the provisions of this section, be entered into in such
manner and form as may be prescribed. (4)
A contract not executed in the manner
provided in this section and the rules made thereunder, shall not be binding on
the Board. In the
performance of its functions under this Act, the Board shall be bound by such
directions as the Commission may give to it from time to time in the
implementation of Scheme financed by the Commission. Chapter IV - PROGRAMMES OR SCHEMES OF WORK (1)
In each year, "on such date as may be
fixed by the Government, the Board shall prepare and forward to the Government
a programme of work. (2)
The programme shall contain ? a)
particulars of the schemes which the Board
proposes to execute, whether in part or whole, during the next year; b)
particulars of any work or undertaking which
the Board proposes to execute during the next year for the purpose of carrying
out its functions under this Act; and c)
such other particulars as may be prescribed. The
Government may, in consultation with the Commission, approve and sanction the
programme in whole or part or with such modifications as it deems fit. The
Board may prepare and forward a supplementary programme for the sanction of the
Government in such form and before such date as the Government may prescribe
and the provisions of section 22 shall apply to such supplementary programme. The
Board may, with the previous approval of the Government make any alteration in
any scheme so long as the aggregate amount sanctioned for the scheme is not
exceeded. A report of the alteration shall be sent to the Commission in such
form and within such time as may be prescribed. Chapter V - FINANCE, ACCOUNTS, AUDIT AND REPORTS The
Government may transfer to the Board, buildings, lands or any other property,
whether movable or immovable for use and management by the Board on such
conditions and limitations as the Government may deem fit for the purposes of
this Act. (1)
The Board shall have its own fund and all
receipts of the Board shall be credited thereto and all payment by the Board
shall be met therefrom. (2)
The Board may accept grants, subventions,
donations and gifts and receive loans from Government or a local authority or
any body or association whether incorporated or not, or an individual for all
or any of the purposes of this Act. It may also create reserves for
irrecoverable losses and losses in direct trading activities. (3)
All moneys belonging to the fund of the Board
shall be deposited in a Government Treasury or the State Bank of India, or the
Mizoram Co-operative Apex Bank Ltd., or any other Bank, approved by the
Government: Provided
that it will not be necessary for all the money to be kept in any one Bank or
Treasury. (4)
The accounts of the Board shall be operated
upon by such officers jointly or individually as may be authorized by the
Board. All
property, fund and other assets of the Board shall be held and applied by it
subject to the provisions, and for the purposes, of this Act. (1)
The Government may from time to time, make
subventions and grants to the Board for the purposes of this Act on such terms
and conditions as the Government may determine in each case. Establishment
expenditure of the Board will be the responsibility of the Government and the
Commission. Similarly, they may grant subvention compensating irrecoverable
debts. (2)
The Board may from time to time, with the
previous sanction of the Government and subject to the provisions of this Act
and such conditions as the Government may determine, borrow any sum required
for the purposes of this Act: Provided
that the previous sanction of the Government shall not be necessary to borrow
any sum from the Commission. (1)
The Board shall, by such date, in each year,
as may be prescribed, prepare and submit to the Government for approval the
budget in the prescribed form for the next financial year showing the estimated
receipts and expenditure in respect of Khadi and Village industries
respectively during that financial year. The Board shall forward a copy of the
budget to the Commission for information and comments, if any. (2)
Subject to the provisions of sub-sections (3)
and (4), no sum shall be expended by or on behalf of the Board unless such
expenditure is covered by a specific provision in the budget approved by the
Government. (3)
The Board, within the respective limits of
the budget, sanction any re-appropriation from one head of expenditure to
another or from a provision made for one scheme to that in respect of another: Provided
that no reappropriation from the head 'loan' to any other head of expenditure
and vice versa in the budget shall be sanctioned by the Board except with the
previous approval of the Government and the Commission. (4)
The Board may within such limits and subject
to such conditions as may be prescribed incur expenditure in excess of the
limit provided in the budget approved by the Government under any head of expenditure
or in connection with any particular scheme so long as the aggregate amount in
the budget approved by the Government is not exceeded. The
Board may submit a supplementary budget for the sanction of the Government in
such form and before such date as the Government may prescribe and the
provisions of section 29 shall apply to such supplementary budget. (1)
The Board shall prepare and forward to the
Government in such manner as may be prescribed an annual report within three
months from the end of a financial year giving a and complete account of its
activities during the previous financial year along-with a copy of the annual
statement of accounts referred to in section 33. (2)
The Board shall prepare and forward to the
Commission an annual report within three months from the end of a financial
year giving a complete accounts of the funds received by the Board from the
Commission and the activities carried on by the Board from and out of such fund
during the previous financial year. (3)
The report received by the Government under
sub-section (1) shall be laid before the Legislative Assembly of Mizoram as
soon as may be after it is received by the Government. (1)
The Board shall furnish to the Government and
the Commission at such time and in such form and manner as may be prescribed or
as the Government or the Commission may direct, such returns and statements and
such particulars in regard to any proposed or existing programme for the
promotion and development of Khadi and Village Industries as the Government or
the Commission, as the case may be, may, from time to time, require. (2)
Without prejudice to the provisions of
sub-section (1), the Board shall, as soon as possible after the end of each
financial year, submit to the Government a report in such form and before such
date as may be prescribed, giving true and full account of its activities,
policy and programme during the previous financial year. (3)
All returns, statements and particulars
furnished by the Board to the Government under subsection (1) shall be laid
before the Legislative Assembly of Mizoram as soon as may be after they are
received by the Government. (1)
The Board shall cause proper accounts and
other records in relation thereto to be kept, including a proper system of
internal check and prepared an annual statement of accounts including the
Profit and Loss Account and the Balance Sheet in such form as may be prescribed
by the Government in consultation with the Comptroller and Auditor-General of
India. (2)
The accounts of the Board shall be audited by
the Comptroller and Auditor General of India or by such persons as he may
authorize in this behalf and any expenditure incurred by him in connection with
such audit shall be payable by the Board to the Comptroller and Auditor-General
of India. (3)
The Comptroller and Auditor General of India
and any person authorized by him in connection with the audit of the accounts
of the Board shall have the same rights, privileges and authority in connection
with such audit as the Comptroller and Auditor-General of India has in
connection with the audit of Government accounts and in particular shall have
the right to demand the production of books of accounts, connected vouchers and
other documents and papers, and to inspect any of the offices of the Board. (4)
The accounts of the Board as certified by the
Comptroller and Auditor-General of India or any other person authorised by him
in this behalf together with the audit report thereon shall be forwarded
annually to the Government and the Government may issue such instructions to
the Board in respect thereof as it deems fit and the Board shall comply with
such instructions. (5)
The Government shall- a)
cause the accounts of the Board together with
the Audit Report thereon forwarded to it under sub-section (4) to be laid
annually before the Legislative Assembly of Mizoram; and b)
cause the accounts of the Board to be
published in the prescribed manner and make available copies thereof on sale of
a reasonable price. If any
amount due to the Board in accordance with the terms of a contract or otherwise
or any sum payable in connection therewith, has not been paid, other remedy
provided by law, recover such amount or sum as arrears of land revenue. The
Board shall be competent to write off losses upto Rs. 500/- in individual cases
and not exceeding Rs. 5,0007-in the aggregate in any financial year in cases
falling under all or any of the following categories:- a)
loss of irrecoverable value of stores or of
public money due to theft fraud or such other cause; b)
loss of irrecoverable advance other than
loans, and; c)
deficiency and depreciation in the value of
stores. (1)
If at any time the Government is satisfied
that ? a)
the Board has without reasonable cause or
excuse made default in the discharge of its duties of in the performance of its
functions imposed or entrusted by or under this Act, or exceeded or abused its
power; or b)
circumstances have so arisen that the Board
is rendered unable or may be rendered unable to discharge its duties or perform
its functions under this Act; and c)
it is otherwise expedient or necessary to
dissolve the Board, the Government may, by notification, dissolve the Board for
such period as may be specified in the notification and declare that the
duties, power and functions of the Board shall during the period of its
dissolution be discharged, exercised and performed by such person or authority,
as may be specified in notification; Provided
that the Government shall, before dissolving the Board, give reasonable
opportunity to it to show cause against the proposed action. (2)
The Government shall, before the expiration
of the period of dissolution, reconstitute the Board in accordance with the
provisions of section 3 and 4. (3)
The Government may make such incidental and
consequential provisions as may appear to them to be necessary for giving
effect to the provisions of this section. (4)
Any notification issued or order made by the
Government under this section shall not be questioned in any court of law. (5)
On the Board being dissolved under
sub-section (1), -- (i)
all properties and funds, which immediately
before the said date were in the possession of the Board for the purposes of
this Act shall vest in the Government; (ii)
'all members, with effect from the date of
the notification under sub-section (1), shall vacate and be deemed to have
vacated office as members of the Board; and (iii) all right, obligations and liabilities (including any
liabilities under any contract) of the Board shall become the rights,
obligations and liabilities of the Government. Chapter VI - MISCELLANEOUS Member
of the Board and Officers and servants of the Board shall be deemed when acting
or purporting to act in pursuance of any of the provisions of this Act to be
public servants within the meaning of section 21 of the Indian Penal Code. No
suit, prosecution or other legal proceedings shall lie against the Government,
the Board or an officer or person for anything which is in good faith done or
purported to be done by or under this Act. (1)
The Government may, by notification in the
Gazette, make rules to give effect to the provisions of this Act. (2)
In particular and without prejudice to the
generality of the foregoing powers, such rules may provide for all or any of
the following matters namely:- a)
the place at which the office of the Board
shall be located; b)
the term of office of, and the manner of
filling casual vacancies among the members of the Board and the term and
conditions of service of the Chairman, Vice-Chairman, the Secretary and other
members of the Board, including the salaries and allowances to be paid to them
and traveling and daily allowances to be drawn by them; c)
the disqualifications for membership of the
Board and the procedure to be followed for removing a member who is or become
subject to any disqualifications; d)
powers and duties to be exercised and
performed by the Chairman and the Vice-Chairman; e)
the conditions subject to which and the mode
in which contracts may be entered into by or on behalf of the Board; f)
constitution of the Standing Finance
Committee; g)
the procedure to be followed in the
performance of functions by members of the Board; h)
the powers and duties to be exercised and
discharged by the Secretary, the Financial Adviser and the Chief Executive
Officer of the Board; i)
the date by which and the form in which the
budget and the supplementary budget shall be prepared and submitted in each
year under section 29 and 30; j)
the procedure to be followed for placing the
Board in possession of funds; k)
the procedure to be followed and the
conditions to be observed in borrowing moneys and in granting loans; l)
the form and manner in which the returns,
reports or statements shall be submitted under section 32; m)
the form and manner in which the accounts of
the Board shall be maintained under section 33; and n)
any other matter which has to be or may be
prescribed. (1)
The Board may with the previous sanction of
the Government, by notification in the Gazette, make regulations not
inconsistent with this Act and the rules made thereunder, for enabling it to
perform its function under this Act. (2)
In particular and without prejudice to the
generality of the forgoing power such regulation may provide for all or any of
the following matters namely:- a)
the terms and conditions of appointment and
service and the scales of pay of officers and servants of the Board other than
the Secretary including the payment of traveling and daily allowances in
respect of journeys undertaken by such officers and servants for the purposes
of this Act; b)
the time and place of meetings of the Board,
the procedure to be followed in regard to transaction of business at such
meetings and the quorum necessary for the transaction of such business at a
meeting; c)
functions of committees and the procedure to
be followed by such committees in the discharge of their functions; d)
the delegation of powers and duties to the
Standing Finance Committee, Secretary or any employee of the Board; e)
the maintenance of minutes of meeting of the
Board and the transmission of copies thereof to the Government and the
Commission; f)
the persons by whom and the manner in which
payments deposits and investments may be made on behalf of the Board; g)
the custody of moneys required for the
current expenditure of the Board and the investment of money not so required;
and h)
the maintenance of accounts, (3)
The Government may, by notification in the
Gazette, rescind any regulations made under this section and thereupon, the
regulation shall cease to have effect. Every
rule or regulation made under this Act shall be laid, as soon as may be after
it is made, before the Legislative Assembly of Mizoram while it is in session
for a total period of seven days which may be comprised in one session or two
successive sessions, and if, before the expiry of the session in which it is so
laid or the session immediately following, the Legislative Assembly of Mizoram
makes any modification in the rule or regulation, or the Legislative Assembly
of Mizoram decides that the rule or regulation should not be made, the rule or
regulation shall thereafter have effect only in such modified form or be of no
effect, as the case may be; so however that any such modification or annulment
shall be without prejudice to the validity of anything previously done under
the rule or regulation. The
Assam Khadi and Village Industries Board Act, 1955 as adapted in Mizoram is
hereby repealed. [1]
Published in the Mizoram Gazette, Vol. XIV, Extraordinary
Issue No. 16, under the notification no. LJD. 122/82/66 dt 29/4/1985.
Preamble - MIZORAM KHADI AND VILLAGE
INDUSTRIES BOARD ACT, 1982PREAMBLE