PRASAR BHARATI (BROADCASTING CORPORATION OF INDIA) ACT 1990

THE PRASAR BHARATI (BROADCASTING CORPORATION OF INDIA) ACT,1990

ACT No. 25 OF 1990

12thSeptember, 1990

An Act to provide for the establishment of a BroadcastingCorporation for India, to be known as Prasar Bharati, to define itscomposition, functions and powers and to provide for matters connectedtherewith or incidental thereto.

BE it enacted by Parliament inthe Forty–first Year of the Republicof India as follows: –

CHAPTER I

PRELIMINARY

1.Short title extent andcommencement: (1) ThisAct may be called the Prasar Bharati (Broadcasting Corporation of India) Act,1990.

(2) It extends to the whole of India.

(3) It shall come into force onsuch date as the Central Government may, by notification, appoint.

2.Definitions: In this Act, unless the contextotherwise requires, –

(a) "Akashvani" meansthe offices, stations and other establishments, by whatever name called, which,immediately before the appointed day, formed part of or were under the Director–General,All India Radio of the Union Ministry of Information and Broadcasting;

(b) "appointed day"means the date appointed under section 3;

(c) "broadcasting"means the dissemination of any form of communication like signs, signals,writing, pictures, images and sounds of all kinds by transmission of electro–magneticwaves through space or through cables intended to be received by the generalpublic either directly or indirectly through the medium of relay stations andall its grammatical variations and cognate expressions shall be construed accordingly;

(d) "Board" means thePrasar Bharati Board;

(e) "BroadcastingCouncil" means the Council established under section 14;

(f) "Chairman" meansthe Chairman of the Corporation appointed under section 4;

(g) "Corporation"means the Prasar Bharati (Broadcasting Corporation of India)established under section 3;

(h) "Doordarshan"means the offices, kendras and other establishments, by whatever name called,which, immediately before the appointed day, formed part of or were under theDirectorate–General, appointed day, formed part of or were under theDirectorate–General, Doordarshan of the Union Ministry of Informationand Broadcasting;

(i) "elected Member"means a Member elected under section 3;

(j) "ExecutiveMember" means the Executive Member appointed under section 4;

(k) "kendra" meansany telecasting centre with studios or transmitters or both and includes arelay station;

(l) "Member" means aMember of the Board;

(m) "Member(Finance)" means the Member (Finance) appointed under section 4;

(n) "Member(Personnel)" means the Member (Personnel) appointed under section 4;

(o) "NominatedMember" means the Member nominated by the Union Ministry of Informationand Broadcasting under section 3;

(p) "Non–lapsableFund" means the Fund created from the commercial revenues of Akashvani andDoordarshan to meet expenditure on certain schemes;

(q) "notification"means a notification published in the Official Gazette;

(r) "Part–timeMember" means a Part–time Member of the Board appointed undersection 4, but does not include an ex officio Member, the Nominated Member oran elected Member;

(s) "prescribed"means prescribed by rules made under this Act;

(t) "RecruitmentBoard" means a board established under sub–section (1) of section10;

(u) "regulations"means regulations made by the Corporation under this Act;

(v) "station" meansany broadcasting station with studios or transmitters or both and includes arelay station;

(w) "whole–timeMember" means the Executive Member, Member (Finance) or Member (Personnel);

(x) "year" means thefinancial year.

CHAPTER II

PRASAR BHARATI (BROADCASTING CORPORATION OF INDIA)

3.Establishment and compositionof Corporation: (1) Witheffect from such date as the Central Government may by notification appoint inthis behalf, there shall be established for the purposes of this Act aCorporation, to be known as the Prasar Bharati (Broadcasting Corporation of India).

(2) The Corporation shall be abody corporate by the name aforesaid having perpetual succession and a commonseal with power to acquire, held and dispose of property, both movable andimmovable, and to contract, and shall by the said name sue and be sued.

(3) The headquarters of theCorporation shall be at New Delhi and theCorporation may establish offices, kendras or stations at other places in India and, with the previous approval of theCentral Government, outside India.

(4) The generalsuperintendence, direction and management of the affairs of the Corporationshall vest in the Prasar Bharati Board which may exercise all such powers anddo all such acts and things as may be exercised or done by the Corporationunder this Act.

(5) The Board shall consist of –

(a) a Chairman;

(b) one Executive Member;

(c) one Member (Finance);

(d) one Member (Personnel);

(e) six Part–timeMembers;

(f) Director–General(Akashvani), ex officio;

(g) Director–General(Doordarshan), ex officio;

(h) one representative of theUnion Ministry of Information and Broadcasting, to be nominated by thatMinistry; and

(i) two representatives of theemployees of the Corporation, of whom one shall be elected by the engineeringstaff from amongst themselves and one shall be elected by the other employeesfrom amongst themselves.

(6) The Corporation may appointsuch committees as may be necessary for the efficient performance, exercise anddischarge of its functions, powers and duties:

Provided that all or a majorityof the members of each committee shall be Members and a member of any suchcommittee who is not a Member shall have only the right to attend meetings ofthe committee and take part in the proceedings thereof, but shall not have theright to vote.

(7) The Corporation mayassociate with itself, in such manner and for such purposes as may be providedby regulations, any person whose assistance or advice it may need in complyingwith any of the provisions of this Act and a person so associated shall havethe right to take part in the discussions of the Board relevant to the purposesof which he has been associated, but shall not have the right to vote.

(8) No act or proceeding of theBoard or of any committee appointed by it under sub–section (6) shall beinvalidated merely by reason of –

(a) any vacancy in, or anydefect in the constitution of, the Board or such committee; or

(b) any defect in theappointment of a person acting as a Member or a member of such committee; or

(c) any irregularity in theprocedure of the Board or such committee not affecting the merits of the case.

4.Appointment of Chairman andother Members: (1) TheChairman and the other Members, except the ex officio Members, the NominatedMember and the elected Members shall be appointed by the President of India onthe recommendation of a committee consisting of –

(a) the Chairman of the Councilof States, who shall be the Chairman of the Committee;

(b) the Chairman of the PressCouncil of India established under section 4 of the Press Council Act, 1978(37of 1978); and

(c) one nominee of thePresident of India.

(2) No appointment of a Membershall be invalidated merely by reason of any vacancy in, or any defect in theconstitution of, the committee appointed under sub–section (1).

(3) The Chairman and the Part–timeMembers shall be persons of eminence in public life; the Executive Member shallbe a person having special knowledge or practical experience in respect of suchmatters as administration, management, broadcasting, education, literature,culture, arts, music, dramatics or journalism; the Member (Finance) shall be aperson having special knowledge or practical experience in respect of financialmatters and the Member (Personnel) shall be a person having special knowledgeor practical experience in respect of personnel management and administration.

(4) The recommendations made bythe committee constituted under sub–section (1) shall be binding for thepurposes of appointment under this section.

5.Powers and functions ofExecutive Member: The Executive Member shall be the Chief Executive of theCorporation and shall, subject to the control and supervision of the Board,exercise such powers and discharge such functions of the Board as it maydelegate to him.

6.Term of office, conditions ofservice, etc., of Chairman and other Members: (1) The Chairman shall be Part–time Memberand shall hold office for a term of six years from the date on which he entersupon his office.

(2) The Executive Member, theMember (Finance) and the Member (Personnel) shall be Whole–time Membersand every such Member shall hold office for a term of six years from the dateon which he enters upon his office or until he attains the age of sixty–twoyears, whichever is earlier.

(3) The term of office of Part–timeMembers shall be six years, but one–third of such Members shall retireon the expiration of every second year.

(4) The term of office of anelected Member shall be two years or till he ceases to be an employee of theCorporation, whichever is earlier.

(5) As soon as may be after theestablishment of the Corporation, the President of India may, by order, makesuch provision as he thinks fit for curtailing the term of office of some ofthe Part–time Members then appointed in order that one–third ofthe Members holding office as such Part–time Members shall retire inevery second year thereafter.

(6) Where before the expiry ofthe term of office of a person holding the office of Chairman, or any otherMember, a vacancy arises, for any reason whatsoever, such vacancy shall bedeemed to be a casual vacancy and the person appointed or elected to fill suchvacancy shall hold office for the unexpired period of the term for which hispredecessor in office would have held office if such vacancy had not arisen.

(7) The Whole–timeMembers shall be the employees of the Corporation and as such shall be entitledto such salaries and allowances and shall be subject to such conditions ofservice in respect of leave, pension (if any), provident fund and other mattersas may be prescribed:

Provided that the salaries andallowances and the conditions of service shall not be varied to theirdisadvantage after their appointment.

(8) The Chairman and Part–timeMembers shall be entitled to such allowances as may be prescribed.

7.Removal and suspension ofChairman and Members: (1) Subject to the provisions of sub–section (3), theChairman or any other Member, except an ex officio Member, the Nominated Memberand an elected Member, shall only be removed from his office by order of thePresident of India on the ground of misbehaviour after the Supreme Court, on areference being made to it by the President, has, on inquiry held in accordancewith such procedure as the Supreme Court may by rules provide, reported thatthe Chairman or such other Member, as the case may be, ought, on such ground,be removed.

(2) the President may suspendfrom office the Chairman or other Member except an ex officio Member, theNominated Member or an elected Member, in respect of whom a reference has beenmade to the Supreme Court under sub–section (1) until the President haspassed orders on receipt of the report of the Supreme Court on such reference.

(3) Notwithstanding anythingcontained in sub–section (1), the President may, by order, remove theChairman or any Whole–time Member form his office if such Chairman orsuch Whole–time Member–

(a) ceases to be a citizen ofIndia; or

(b) is adjudged an insolvent;or

(c) engages during his term ofoffice in any paid employment outside the duties of his office; or

(d) is convicted of any offenceinvolving moral turpitude; or

(e) is, in the opinion of thePresident, unfit to continue in office by reason of infirmity of body or mind :

Provided that the Presidentmay, by order, remove any Part–time Member from his office if he isadjudged an insolvent or is convicted of any offence involving moral turpitudeor where he is, in the opinion of the President, unfit to continue in office byreason of infirmity of body or mind.

(4) If the Chairman or anyWhole–time Member, except any ex officio Member, the Nominated Member orany elected Member, is, or becomes in any way concerned or interested in anycontract or agreement made by or on behalf of the Corporation or the Governmentof India or the Government of a State or, participates in any way in the profitthereof, or in any benefit or emolument arising therefrom than as a member, andin common with other members of an incorporated company, he shall, for thepurposes of sub–section (1), be deemed to be guilty of misbehaviour.

(5) If a Part–timeMember is, or becomes in any way concerned or interested in any contract oragreement made by or on behalf of the Corporation, he shall, for the purposesof sub–section (1), be deemed to be guilty of misbehaviour.

(6) The Chairman or any otherMember may resign his office by giving notice thereof in writing to thePresident of India and on such resignation being accepted, the Chairman orother Member shall be deemed to have vacated his office.

8.Meetings of Board: (1) The Board shall meet atsuch times and places and shall observe such rules of procedure in regard tothe transaction of business at its meetings (including the quorum at meetings)as may be provided by regulations :

Provided that there shall notbe less than six meetings every year but three months shall not intervenebetween one meeting and the next meeting.

(2) A Member shall be deemed tohave vacated his office if he absents himself for three consecutive meetings ofthe Board without the leave of the Chairman.

(3) The Chairman shall presideat the meetings of the Board and if for any reason he is unable to attend anymeeting, the Executive Member and in the absence of both, any other Memberelected by the Members present at such meeting, shall preside at the meeting.

(4) All questions which come upbefore any meeting of the Board shall be decided by a majority of the votes ofthe Members present and voting and, in the event of an equality of votes, theChairman, or in his absence, the person presiding, shall have and exercise asecond or casting vote.

9.Officers and other employeesof Corporation: (1)Subject to such control, restrictions and conditions as may be prescribed, theCorporation may appoint, after consultation with the Recruitment Board, theDirector–General (Akashvani), the Director–General (Doordarshan)and such other officers and other employees as may be necessary.

(2) The method of recruitmentof such officers and employees and all other matters connected therewith andthe conditions of service of such officers and other employees shall be such asmay be provided by regulations.

10.Establishment of RecruitmentBoards: (1) the Corporation shall, assoon as may be, after the appointed day and in such manner and subject to suchconditions and restrictions as may be prescribed, establish for the purposes ofsection 9, one or more Recruitment Boards consisting wholly of persons otherthan the Members, officers and other employees of the Corporation :

Provided that for the purposesof appointment to the posts carrying scales of pay which are not less than thatof a Joint Secretary to the Central Government, the Recruitment Board shallconsist of the Chairman, other Members, the ex officio Members, the NominatedMember and the elected Members.

(2) The qualifications andother conditions of service of the members constituting the Recruitment Boardand the period for which such members shall hold office, shall be such as maybe prescribed.

11.Transfer of service ofexisting employees to Corporation: (1) Where the Central Government has ceased to perform anyfunctions which under section 12 are the functions of the Corporation, it shallbe lawful for the Central Government to transfer, by order and with effect fromsuch date or dates as may be specified in the order, to the Corporation any ofthe officers or other employees serving in the Akashvani or Doordarshan andengaged in the performance of those functions :

Provided that no order underthis sub–section shall be made in relation to any officer or otheremployee in the Akashvani or Doordarshan who has, in respect of the proposal ofthe Central Government to transfer such officer or other employee to theCorporation, intimated within such time as may be specified in this behalf bythe Central Government, his intention of not becoming an employee of theCorporation.

(2) The provisions of sub–section(1) shall also apply to the members of the Indian Information Service, theCentral Secretariat Service or any other service or to persons borne on cadresoutside Akashvani and Doordarshan who have been working in Akashvani orDoordarshan immediately before the appointed day :

Provided that where any suchmember intimates, within the time specified in sub–section (1), hisintention of not becoming an employee of the Corporation but to continue ondeputation, he may be allowed to continue on deputation in accordance with suchterms and conditions as may be prescribed.

(3) In making an order undersub–section (1), the Central Government shall, as far as may be, takeinto consideration the functions which the Akashvani or, as the case may be,Doordarshan has ceased or ceases to perform and the area in which suchfunctions have been or are performed.

(4) An officer or otheremployee transferred by an order under sub–section (1) shall, on andfrom the date of transfer, cease to be an employee of the Central Governmentand become an employee of the Corporation with such designation as theCorporation may determine and shall, subject to the provisions of sub–sections(5) and (6), be governed by such regulations as may be made as respectsremuneration and other conditions of service including pension, leave andprovident fund and shall continue to be an officer or other employee of theCorporation unless and until his employment is terminated by the Corporation.

(5) Every officer or otheremployee transferred by an order made under sub–section (1) shall,within six months from the date of transfer, exercise his option, in writing,to be governed –

(a) by the scale of payapplicable to the post held by him in the Akashvani or Doordarshan immediatelybefore the date of transfer or by the scale applicable to the post under theCorporation to which he is transferred;

(b) by the leave, providentfund, retirement or other terminal benefits admissible to employees of theCentral Government in accordance with the rules or orders of the CentralGovernment, as amended from time to time, or the leave, provident fund or otherterminal benefits admissible to the employees of the Corporation under theregulations,

and such option once exercisedunder this Act shall be final :

Provided that the optionexercised under clause (a) by an officer or other employee shall be applicableonly in respect of the post under the Corporation to which such officer orother employee is transferred and on appointment to a higher post under theCorporation he shall be eligible only for the scale of pay applicable to suchhigher post :

Provided further that ifimmediately before the date of his transfer any such officer or other employeeis officiating in a higher post under the Government either in a leave vacancyor any other vacancy of a specified duration, his pay on transfer shall beprotected for the unexpired period of such vacancy and thereafter he shall beentitled to the scale of pay applicable to the post under the Government towhich he would have reverted or to the scale of pay applicable to the postunder the Corporation to which he is transferred, whichever he may opt :

Provided also that when anofficer or other employee serving in the Union Ministry of Information andBroadcasting or in any of its attached or subordinate offices is promoted toofficiate in a higher post in the Ministry or office subsequent to the transferto the Corporation of any other officer or employee senior to him in thatMinistry or office before such transfer, the officer or other employee who ispromoted to officiate in such higher post shall, on transfer to theCorporation, be entitled only to the scale of pay applicable to the post hewould have held but for such promotion or the scale of pay applicable to the postunder the Corporation to which he is transferred, whichever he may opt.

(6) No officer or otheremployee transferred by an order made under sub–section (1) or sub–section(2), –

(a) shall be dismissed orremoved by an authority subordinate to that competent to make a similar orequivalent appointment under the Corporation as may be specified in theregulations;

(b) shall be dismissed orremoved or reduced in rank except after an inquiry in which he has beeninformed of the charges against him and given a reasonable opportunity of beingheard in respect of those charges :

Provided that where it isproposed after such inquiry to impose upon him any such penalty, such penaltymay be imposed on the basis of evidence adduced during such inquiry and it shallnot be necessary to give such person an opportunity of making representation onthe proposed penalty:

Provided further that clause(b) shall not apply where an officer or other employee is dismissed or removedor reduced in rank on the ground of conduct which has led to his conviction ona criminal charge.

12.Functions and powers ofCorporation: (1)Subject to the provisions of this Act, it shall be the primary duty of theCorporation to organise and conduct public broadcasting services to inform, educateand entertain the public and to ensure a balanced development of broadcastingon radio and television.

Explanation: For theremoval of doubts, it is hereby declared that the provisions of this sectionshall be in addition to, and not in derogation of, the provisions of the IndianTelegraph Act, 1885(13 of 1985).

(2) The Corporation shall, inthe discharge of its functions, be guided by the following objectives, namely :–

(a) upholding the unity andintegrity of the country and the values enshrined in the Constitution;

(b) safeguarding the citizen’sright to be informed freely, truthfully and objectively on all matters ofpublic interest, national or international, and presenting a fair and balancedflow of information including contrasting views without advocating any opinionor ideology of its own;

(c) paying special attention tothe fields of education and spread of literacy, agriculture, rural development,environment, health and family welfare and science and technology;

(d) providing adequate coverageto the diverse cultures and languages of the various regions of the country bybroadcasting appropriate programmes;

(e) providing adequate coverageto sports and games so as to encourage healthy competition and the spirit ofsportsmanship;

(f) providing appropriateprogrammes keeping in view the special needs of the youth :

(g) informing and stimulatingthe national consciousness in regard to the status and problems of women andpaying special attention to the upliftment of women;

(h) promoting social justiceand combating exploitation, inequality and such evils as untouchability andadvancing the welfare of the weaker sections of the society;

(i) safeguarding the rights ofthe working classes and advancing their welfare;

(j) serving the rural andweaker sections of the people and those residing in border regions, backward orremote areas;

(k) providing suitableprogrammes keeping in view the special needs of the minorities and tribalcommunities;

(l) taking special steps toprotect the interests of children, the blind, the aged, the handicapped andother vulnerable sections of the people;

(m) promoting nationalintegration by broadcasting in a manner that facilitates communication in thelanguages in India; and facilitating the distribution of regional broadcastingservices in every State in the languages of that State;

(n) providing comprehensivebroadcast coverage, through the choice of appropriate technology and the bestutilisation of the broadcast frequencies available and ensuring high qualityreception;

(o) promoting research anddevelopment activities in order to ensure that radio and television broadcasttechnology are constantly updated; and

(p) expanding broadcastingfacilities by establishing additional channels of transmission at variouslevels.

(3) In particular, and withoutprejudice to the generality of the foregoing provisions, the Corporation maytake such steps as it thinks fit –

(a) to ensure that broadcastingis conducted as a public service to provide and produce programmes;

(b) to establish a system forthe gathering of news for radio and television;

(c) to negotiate for purchaseof, or otherwise acquire, programmes and rights or privileges in respect ofsports and other events, films, serials, occasions, meanings, functions orincidents of public interest, for broadcasting and to establish procedures forthe allocation of such programmes, rights or privileges to the services;

(d) to establish and maintain alibrary or libraries of radio, television and other materials;

(e) to conduct or commission,from time to time, programmes, audience research, market or technical service,which may be released to such persons and in such manner and subject to suchterms and conditions as the Corporation may think fit;

(f) to provide such otherservices as may be specified by regulations.

(4) Nothing in sub–sections(2) and (3) shall prevent the Corporation from managing on behalf of theCentral Government and in accordance with such terms and conditions as may bespecified by that Government the broadcasting of External Services andmonitoring of broadcasts made by organisations outside India on the basis ofarrangements made for reimbursement of expenses by the Central Government.

(5) For the purposes ofensuring that adequate time is made available for the promotion of theobjectives set out in this section, the Central Government, shall have thepower to determine the maximum limit of broadcast time in respect of theadvertisement.

(6) The Corporation shall besubject to no civil liability on the ground merely that it failed to complywith any of the provisions of this section.

(7) The Corporation shall havepower to determine and levy fees and other service charges for or in respect ofthe advertisements and such programmes as may be specified by regulations :

Provided that the fees andother service charges levied and collected under this sub–section shallnot exceed such limits as may be determined by the Central Government, fromtime to time.

13.Parliamentary Committee: (1) There shall be constituteda Committee consisting of twenty–two Members of Parliament, of whomfifteen from the House of the People to be elected by the Members thereof andseven from the Council of States to be elected by the Members thereof in accordancewith the system of proportional representation by means of the singletransferable vote, to oversee that the Corporation discharges its functions inaccordance with the provisions of this Act and, in particular, the objectivesset out in section 12 and submit a report thereon to Parliament.

(2) The Committee shallfunction in accordance with such rules as may be made by the Speaker of theHouse of the People.

14.Establishment ofBroadcasting Council, term of office and removal, etc., of members thereof: (1) There shall beestablished, by notification, as soon as may be after the appointed day, aCouncil, to be known as the Broadcasting Council, to receive and considercomplaints referred to in section 15 and to advise the Corporation in thedischarge of its functions in accordance with the objectives set out in section12.

(2) The Broadcasting Councilshall consist of –

(i) a President and ten othermembers to be appointed by the President of India from amongst persons ofeminence in public life;

(ii) four Members ofParliament, of whom two from the House of the People to be nominated by theSpeaker thereof and two from the Council of States to be nominated by theChairman thereof.

(3) The President of theBroadcasting Council shall be a whole–time member and every other membershall be a part–time member and the President or the part–timemember shall hold office as such for a term of three years from the date onwhich he enters upon his office.

(4) The Broadcasting Councilmay constitute such number of Regional Councils as it may deem necessary to aidand assist the Council in the discharge of its functions.

(5) The President of theBroadcasting Council shall be entitled to such salary and allowances and shallbe subject to such conditions of service in respect of leave, pension (if any),provident fund and other matters as may be prescribed :

Provided that the salary andallowances and the conditions of service shall not be varied to thedisadvantage of the President of the Broadcasting Council after hisappointment.

(6) The other members of theBroadcasting Council and the members of the Regional Councils constituted undersub–section (4) shall be entitled to such allowances as may beprescribed.

15.Jurisdiction of, and theprocedure to be followed by, Broadcasting Council: (1) The Broadcasting Council shall receive andconsider complaints from –

(i) any person or group ofpersons alleging that a certain programme or broadcast or the functioning ofthe Corporation in specific cases or in general is not in accordance with theobjectives for which the Corporation is established;

(ii) any person (other than anofficer or employee of the Corporation) claiming himself to have been treatedunjustly or unfairly in any manner (including unwarranted invasion of privacy,misrepresentation, distortion or lack of objectivity) in connection with anyprogramme broadcast by the Corporation.

(2) A complaint under sub–section(1) shall be made in such manner and within such period as may be specified byregulations.

(3) The Broadcasting Councilshall follow such procedure as it thinks fit for the disposal of complaintsreceived by it.

(4) If the complaint is foundto be justified either wholly or in part, the Broadcasting Council shall advisethe Executive Member to take appropriate action.

(5) If the Executive Member isunable to accept the recommendation of the Broadcasting Council, he shall placesuch recommendation before the Board for its decision thereon.

(6) If the Board is also unableto accept the recommendation of the Broadcasting Council, it shall record itsreasons therefor and inform the Broadcasting Council accordingly.

(7) Notwithstanding anythingcontained in sub–sections (5) and (6), where the Broadcasting Councildeems it appropriate, it may, for reasons to be recorded in writing, requirethe Corporation to broadcast its recommendations with respect to a complaint insuch manner as the Council may deem fit.

CHAPTER III

ASSETS, FINANCES AND ACCOUNTS

16.Transfer of certain assets,liabilities, etc., of Central Government to Corporation: As from the appointed day, –

(a) all property and assets(including the Non–lapsable Fund) which immediately before that dayvested in the Central Government for the purpose of Akashvani or Doordarshan orboth shall stand transferred to the Corporation on such terms and conditions asmay be determined by the Central Government and the book value of all suchproperty and assets shall be treated as the capital provided by the CentralGovernment to the Corporation;

(b) all debts, obligations andliabilities incurred, all contracts entered into and all matters and thingsengaged to be done by, with or for the Central Government immediately beforesuch day for or in connection with the purposes of Akashvani or Doordarshan orboth shall be deemed to have been incurred, entered into and engaged to be doneby, with or for the Corporation;

(c) all sums of money due tothe Central Government in relation to the Akashvani or Doordarshan or bothimmediately before such day shall be deemed to be due to the Corporation;

(d) all suits and other legalproceedings instituted or which could have been instituted by or against theCentral Government immediately before such day for any matter in relation tothe Akashvani or Doordarshan or both may be continued or instituted by oragainst the Corporation.

17.Grants, etc., by CentralGovernment: For thepurposes of enabling the Corporation to discharge its functions efficientlyunder this Act, the Central Government may, after due appropriation made byParliament by law in this behalf, pay to the Corporation in each financialyear, –

(i) the proceeds of thebroadcast receiver licence fees, if any, as reduced by the collection charges;and

(ii) such other sums of moneyas that Government considers necessary,

by way of equity, grant–in–aidor loan.

18.Fund of Corporation: (1) The Corporation shall haveits own Fund and all the receipts of the Corporation (including the amountswhich stand transferred to the Corporation under section 16) shall be creditedto the Fund and all payments by the Corporation shall be made therefrom.

(2) All moneys belonging to theFund shall be deposited in one or more nationalised banks in such manner as theCorporation may decide.

(3) The Corporation may spendsuch sums as it thinks fit for performing its functions under this Act and suchsums shall be treated as expenditure payable out of the Fund of theCorporation.

Explanation: For thepurposes of this section, "nationalised bank" means a correspondingnew bank specified in the First Schedule to the Banking Companies (Acquisitionand Transfer of Undertakings) Act, 1970(5 of 1970) or a corresponding new bankspecified in the First Schedule to the Banking Companies (Acquisition andTransfer of Undertakings) Act, 1980(40 of 1980).

19.Investment of moneys: The Corporation may invest itsmoneys in the securities of the Central Government or any State Government orin such other manner as may be prescribed.

20.Annual Financial Statementof the Corporation: (1) The Corporation shall prepare, in each financial year, anAnnual Financial Statement for the next financial year showing separately –

(a) the expenditure which isproposed to be met from the internal resources of the Corporation; and

(b) the sums required from theCentral Government to meet other expenses, and distinguishing –

(i) revenue expenditure fromother expenditure; and

(ii) non–planexpenditure from plan expenditure.

(2) The Annual FinancialStatement shall be prepared in such form and forwarded at such time to theCentral Government for its approval as may be agreed to by that Government andthe Corporation.

21.Accounts and audit ofCorporation: (1) TheCorporation shall maintain proper accounts and other relevant records andprepare an annual statement of accounts in such form and in such manner as maybe prescribed.

(2) The accounts of theCorporation shall be audited by the Comptroller and Auditor–General ofIndia at such intervals as may be specified by him and any expenditure incurredin connection with such audit shall be payable by the Corporation to theComptroller and Auditor–General.

(3) The Comptroller and Auditor–Generaland any person appointed by him in connection with the audit of the accounts ofthe Corporation shall have the same rights and privileges and authority inconnection with such audit as the Comptroller and Auditor–General has inconnection with the audit of Government accounts and, in particular, shall havethe right to demand the production of books, accounts, connected vouchers andother documents and papers and to inspect any of the offices of theCorporation.

(4) The accounts of theCorporation as certified by the Comptroller and Auditor–General of Indiaor any other person appointed by him in this behalf together with the auditreport thereon shall be forwarded annually to the Central Government and thatGovernment shall cause the same to be laid before each House of Parliament.

22.Corporation not liable to betaxed: Notwithstanding anythingcontained in the Income–tax Act, 1961(43 of 1961), or any otherenactment for the time being in force relating to income–tax or anyother tax on income, profits or gains, the Corporation shall not be liable topay any income–tax or any other tax in respect of –

(a) any income, profits orgains, accruing or arising out of the Fund of the Corporation or any amountreceived in that Fund; and

(b) any income, profits orgains, derived or any amount received, by the Corporation.

CHAPTER IV

MISCELLANEOUS

23.Power of Central Governmentto give directions: (1) The Central Government may, from time to time as and whenoccasion arises, issue to the Corporation such directions as it may thinknecessary in the interests of the sovereignty, unity and integrity of India orthe security of the State or preservation of public order requiring it not tomake a broadcast on a matter specified in the direction or to make a broadcaston any matter of public importance specified in the direction.

(2) Where the Corporation makesa broadcast in pursuance of the direction issued under sub–section (1),the fact that such broadcast has been made in pursuance of such direction mayalso be announced along with such broadcast, if the Corporation so desires.

(3) A copy of every directionissued under sub–section (1) shall be laid before each House ofParliament.

24.Power of Central Governmentto obtain information: The Central Government may require the Corporation to furnishsuch information as that Government may consider necessary.

25.Report to Parliament incertain matters and recommendations as to action against the Board: (1) Where the Boardpersistently makes default in complying with any directions issued undersection 23 or fails to supply the information required under section 24, theCentral Government may prepare a report thereof and lay it before each House ofParliament for any recommendation thereof as to any action (includingsupersession of the Board) which may be taken against the Board.

(2) On the recommendation ofthe Parliament, the President may be notification supersede the Board for suchperiod not exceeding six months as may be specified in the notification :

Provided that before issuingthe notification under this sub–section the President shall give areasonable opportunity to the Board to show cause as to why it should not besuperseded and shall consider the explanations and objections, if any, of theBoard.

(3) Upon the publication of thenotification under sub–section (2), –

(a) all the Members shall, asfrom the date of supersession, vacate their offices as such;

(b) all the powers, functionsand duties which may, by or under the provisions of this Act be exercised ordischarged by or on behalf of the Board, shall, until the Board isreconstituted under this Act, be exercised and discharged by such person orpersons as the President may direct.

(4) On the expiration of theperiod of supersession specified in the notification issued under sub–section(2), the President may reconstitute the Board by fresh appointments, and insuch a case any person who had vacated his office under clause (a) of sub–section(3) shall not be disqualified for appointment :

Provided that the Presidentmay, at any time before the expiration of the period of supersession, takeaction under this sub–section.

(5) The Central Governmentshall cause the notification issued under sub–section (2) and a fullreport of the action taken under this section to be laid before each House ofParliament.

26.Office of member not todisqualify a Member of Parliament: It is hereby declared that the office of the member of theBroadcasting Council or of the Committee constituted under section 13 shall notdisqualify its holder for being chosen as, or for being, a Member of eitherHouse of Parliament.

27.Chairman, Members, etc., tobe public servants: The Chairman and every other Member, every officer or otheremployee of the Corporation and every member of a Committee thereof, thePresident and every member of the Broadcasting Council or every member of aRegional Council or a Recruitment Board shall be deemed to be a public servantwithin the meaning of section 21 of the Indian Penal Code(45 of 1860).

28.Protection of action takenin good faith: No suitor other legal proceeding shall lie against the Corporation the Chairman or anyMember or officer or other employee thereof or the President or a member of theBroadcasting Council or a member of a Regional Council or a Recruitment Boardfor anything which is in good faith done or intended to be done in pursuance ofthis Act or of any rules on regulations made thereunder.

29.Authentication of orders andother instruments of Corporation: All orders and decisions of the Corporation shall beauthenticated by the signature of the Chairman or any other Member authorisedby the Corporation in this behalf and all other instruments executed by theCorporation shall be authenticated by the signature of the Executive Member orby any officer of the Corporation authorised by him in this behalf.

30.Delegation of powers: The Corporation may, bygeneral or special order, delegate to the Chairman or any other Member or toany officer of the Corporation, subject to such conditions and limitations, ifany, as may be specified therein, such of its powers and duties under this Actas it may deem fit.

31.Annual report: (1) The Corporation shallprepare once in every calendar year, in such form and within such time as maybe prescribed, an annual report giving a full account of its activities(including the recommendations and suggestions made by the Broadcasting Counciland the action taken thereon) during the previous year and copies thereof shallbe forwarded to the Central Government and that Government shall cause the sameto be laid before each House of Parliament.

(2) The Broadcasting Councilshall prepare once in every calendar year, in such form and within such time asmay be prescribed, an annual report giving a full account of its activitiesduring the previous year and copies thereof shall be forwarded to the CentralGovernment and that Government shall cause the same to be laid before eachHouse of Parliament.

32.Power to make rules: (1) The Central Governmentmay, by notification, make rules for carrying out the provisions of this Act.

(2) Ion particular, and withoutprejudice to the generality of the foregoing power, such rules may provide forall or any of the following matters, namely: –

(a) the salaries and allowancesand conditions of service in respect of leave, pension (if any), provident fundand other matters in relation to the Whole–time Members under sub–section(7) of section 6;

(b) the allowances payable tothe Chairman and Part–time Members under sub–section (8) ofsection 6;

(c) the control, restrictionsand conditions subject to which the Corporation may appoint officers and otheremployees under sub–section (1) of section 9;

(d) the manner in which and theconditions and restrictions subject to which a Recruitment Board may beestablished under sub–section (1) of section 10;

(e) the qualifications andother conditions of service of the members of a Recruitment Board and theirperiod of office under sub–section (2) of section 10;

(f) the terms and conditions inaccordance with which the deputation may be regulated under sub–section(2) of section 11;

(g) the salary and allowancesand conditions of service in respect of leave, pension (if any), provident fundand other matters in relation to the President of the Broadcasting Councilunder sub–section (5) of section 14;

(h) the allowances payable toother members of the Broadcasting Council and the members of the RegionalCouncils, under sub–section (6) of section 14;

(i) the manner in which theCorporation may invest its moneys under section 19;

(j) the form and the manner inwhich the annual statement of accounts shall be prepared under sub–section(1) of section 21;

(k) the form in which, and thetime within which the Corporation and the Broadcasting Council shall preparetheir annual report under section 31;

(l) any other matter which is requiredto be, or may be, prescribed.

33.Power to make regulations: (1) The Corporation may, bynotification, make regulations not inconsistent with this Act and the rulesmade thereunder for enabling it to perform its functions under this Act.

(2) Without prejudice to thegenerality of the foregoing power such regulations may provide for all or anyof the following matters, namely: –

(a) the manner in which and thepurposes for which the Corporation may associate with itself any person undersub–section (7) of section 3;

(b) the times and places atwhich meetings of the Board shall be held and, the procedure to be followedthereat, and the quorum necessary for the transaction of the business at ameeting of the Board under sub–section (1) of section 8;

(c) the methods of recruitmentand conditions of service of officers and other employees of the Corporationunder sub–section (2) of section 9;

(d) the remuneration and otherconditions of service, including pension, leave and provident fund in relation toan officer or other employee of the Corporation under sub–section (4) ofsection 11;

(e) the authority competent tomake certain appointments referred to in clause (a) of sub–section (6)of sub–section (6) of section 11;

(f) the services which may be providedby the Corporation under clause (f) of sub–section (3) of section 12;

(g) the determination and levyof fees and other service charges in respect of advertisements and otherprogrammes under sub–section (7) of section 12;

(h) the manner in which and theperiod within which complaints may be made under sub–section (2) ofsection 15;

(i) any other matter in respectof which provision is, in the opinion of the Corporation, necessary for theperformance of its functions under this Act :

Provided that the regulationsunder clause (c) or clause (d) shall be made only with the prior approval ofthe Central Government.

34.Rules and regulations to belaid before Parliament: Every rule and every regulation made under this Act shall belaid, as soon as may be after it is made, before each House of Parliament,while it is in session for a total period of thirty days which may be comprisedin one session or in two or more successive sessions, and if, before the expiryof the session immediately following the session or the successive sessionsaforesaid, both Houses agree in making any modification in the rule orregulation, or both Houses agree that the rule or regulation should not bemade, the rule or regulation shall thereafter have effect only in such modifiedform or be of no effect, as the case may be; so, however, that any suchmodification or annulment shall be without prejudice to the validity ofanything previously done under that rule or regulation.

35.Power to removedifficulties: If anydifficulty arises in giving effect to the provisions of this Act, the CentralGovernment may, by order, published in the Official Gazette, make suchprovisions, not inconsistent with the provisions of this Act, as it may deemnecessary, for the removal of the difficulty:

Provided that no such ordershall be made after the expiry of a period of three years from the appointedday.

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