TRANSFORMER AND SWITCHGEAR LIMITED (ACQUISITION AND TRANSFER OF UNDERTAKINGS) ACT 1983
THE TRANSFORMER AND SWITCHGEAR LIMITED (ACQUISITION AND TRANSFEROF UNDERTAKINGS) ACT, 1983
ACT No. 41 OF 1983
An Act to provide for the acquisition and transfer of theundertakings of the Transformer and Switchgear Limited with a view to securingthe better utilisation of the available infra-structure thereof and tomodernise and augment the production of transformers, switchgears and otherallied electrical equipments by the said undertakings so as to subserve theinterests of the general public be ensuring the continued supply of theaforesaid articles which are essential to the needs of the economy of thecountry and for matters connected therewith or incidental thereto.
WHEREAS the Transformer andSwitchgear Limited are engaged in the production of certain articles mentionedin the First Schedule to the Industries (Development and Regulation) Act,1951(65 of 1951), under the heading "ELECTRICAL EQUIPMENT";
AND WHEREAS the Company hadbeen suffering heavy losses for a number of years with the result that amajority of the workers of the Company had been laid off and the affairs of theCompany are being managed in a manner prejudicial to the interests of theCompany and the public interest;
AND WHEREAS for the purpose ofsecuring the better utilisation of the available infra–structure of theundertakings of the Company and for modernising and augmenting the productionof transformers, switchgears and other allied electrical equipments by the saidundertakings, investment of a large amount is necessary;
AND WHEREAS it is necessary toacquire the undertakings of the Transformer and Switchgear Limited to enablethe Central Government to have such investments made so as to subserve theinterests of the general public by the continuance by the undertakings of theCompany of the production and supply of the aforesaid articles which areessential to the needs of the economy of the country;
BE it enacted by Parliament, inthe Thirty–fourth Year of the Republicof India as follows: –
1.Short title and commencement: (1) This Act may be called theTransformer and Switchgear Limited (Acquisition and Transfer of Undertakings)Act, 1983.
(2) It shall be deemed to havecome into force on the 8th day of November, 1983.
2.Definitions: In this Act, unless thecontext otherwise requires, –
(a) "Andrew Yule"means Andrew Yule and Company Limited, Calcutta,a company formed and registered under the Companies Act, 1956(1 of 1956);
(b) "appointed day"means the 8th day of November, 1983;
(c) "Commissioner"means the Commissioner of Payments appointed under section 14;
(d) "Company" meansthe Transformer and Switchgear Limited, being a company as defined in theCompanies Act, 1956(1 of 1956), and having its registered office at 21, GuindyRoad, Adyar, Madras–6000020;
(e) "notification"means a notification published in the Official Gazette;
(f) "prescribed"means prescribed by rules made under this Act;
(g) "specified date"in relation to any provision of this Act, means such date as the CentralGovernment may, by notification, specify for the purposes of that provision anddifferent dates may be specified for different provisions of this Act;
(h) words and expressions usedherein and not defined but defined in the Companies Act, 1956(1 of 1956), shallhave the meanings, respectively, assigned to them in that Act.
ACQUISITION AND TRANSFER OF THE UNDERTAKINGS OF THE COMPANY
3.Transfer to, and vesting in,the Central Government of the undertakings of the Company: On the appointed day, theundertakings of the Company, and the right, title and interest of the Companyin relation to its undertakings, shall, by virtue of this Act, standtransferred to, and vest in, the Central Government.
4.General effect of vesting: (1) The undertakings of theCompany shall be deemed to include all assets, rights, lease–holds,powers, authorities and privileges, and all property, movable and immovable,including lands, buildings, workshops, stores, instruments, machinery andequipment, cash balances, cash on hand, reserve funds, investments, book debtsand all other rights and interests in, or arising out of, such property as wereimmediately before the appointed day in the ownership, possession, power orcontrol of the Company, whether within or outside India, and all books ofaccount, registers and all other documents of whatever nature relating thereto.
(2) All properties as aforesaidwhich have vested in the Central Government under section 3 shall, by force ofsuch vesting, be freed and discharged from any trust, obligation, mortgage,charge, lien and all other incumbrances affecting them, and any attachment,injunction, decree or order of any court, tribunal or other authorityrestricting the use of such properties in any manner shall be deemed to havebeen withdrawn.
(3) Every mortgage of anyproperty which has vested under this Act in the Central Government and everyperson holding any charge, lien or other interest in, or in relation to, anysuch property shall give, within such time and in such manner as may beprescribed, an intimation to the Commissioner of such mortgage, charge, lien orother 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 inrelation to, any such property shall be entitled to claim, in accordance withhis rights and interests, payment of the mortgage money or other dues, in wholeor in part, out of the amount specified in section 7 and also out of the amountdetermined under section 8, but no such mortgage, charge, lien or otherinterest shall be enforceable against any property which has vested in theCentral Government.
(5) Any licence or otherinstrument granted to the Company in relation to any undertaking which hasvested in the Central Government under section 3, at any time before theappointed day and in force immediately before that day, shall continue to be inforce on and after such day in accordance with its tenor in relation to, andfor the purposes of, such undertaking and on and from the date of vesting ofsuch undertaking under section 6 in Andrew Yule, that company shall be deemedto be substituted in such licence or other instrument as if such licence orother instrument had been granted to Andrew Yule and that company shall hold itfor the remainder of the period for which the Company would have held it underthe terms thereof.
(6) If, on the appointed day,any suit, appeal or other proceeding of whatever nature in relation to anyproperty which has vested in the Central Government under section 3, institutedor preferred by or against the Company is pending, the same shall not abate, bediscontinued or be, in any way, prejudicially affected by reason of thetransfer of the undertakings of the Company or of anything contained in thisAct, but the suit, appeal or other proceeding may be continued, prosecuted orenforced by or against the Central Government, or where the undertakings of theCompany are directed under section 6, to vest in Andrew Yule, by or againstAndrew Yule.
5.Central Government or AndrewYule not to be liable for prior liabilities: (1) Every liability of the Company in respect ofany period prior to the appointed day, shall be the liability of the Companyand shall be enforceable against it and not against the Central Government, or,where the undertakings of the Company are directed under section 6 to vest inAndrew Yule, against Andrew Yule.
(2) For the removal of doubts,it is hereby declared that, –
(a) save as otherwise expresslyprovided in this section or in any other provision of this Act, no liability ofthe Company in respect of any period prior to the appointed day, shall beenforceable against the Central Government, or where the undertakings of theCompany are directed under section 6 to vest in Andrew Yule, against AndrewYule;
(b) no award, decree or orderof any court, tribunal or other authority in relation to the undertakings ofthe Company, passed after the appointed day, in respect of any matter, claim ordispute which arose before that day, shall be enforceable against the CentralGovernment, or, where the undertakings of the Company are directed undersection 6 to vest in Andrew Yule, against Andrew Yule;
(c) no liability incurred bythe Company before the appointed day, for the contravention of a provision ofany law for the time being in force, shall be enforceable against the CentralGovernment, or, where the undertakings of the Company are directed undersection 6 to vest in Andrew Yule, against Andrew Yule.
6.Power of the CentralGovernment to direct vesting of the undertakings of the Company in Andrew Yule:
(1) Notwithstanding anything contained insections 3 and 4, the Central Government may, subject to such terms andconditions as it may think fit to impose, direct, by notification, that theundertakings of the Company, and the right, title and interest of the Companyin relation to its undertakings, which have vested in the Central Government undersection 3, shall, instead of continuing to vest in the Central Government, vestin Andrew Yule either on the date of the notification or on such earlier orlater date (not being a date earlier than the appointed day) as may bespecified in the notification.
(2) Where the right, title andinterest of the Company in relation to its undertakings vest in Andrew Yuleunder sub–section (1), Andrew Yule shall, on and from the date of suchvesting, be deemed to have become the owner in relation to such undertakings,and all the rights and liabilities of the Central Government in relation tosuch undertakings shall, on and from the date of such vesting, be deemed tohave become the rights and liabilities of Andrew Yule.
PAYMENT OF AMOUNTS
7.Payment of amount: For the transfer to, andvesting in, the Central Government, under section 3, of the undertakings of theCompany and the right, title and interest of the Company in relation to itsundertakings, there shall be paid by the Central Government to the Company, incash, and in the manner specified in Chapter VI, an amount of rupees seventy–eightlakhs and twenty–six thousand.
8.Payment of further amount: (1) The amount specified insection 7 shall carry simple interest at the rate of four percent perannum for the period commencing on the appointed day and ending on the date onwhich payment of such amount is made by the Central Government to theCommissioner.
(2) The amount determined inaccordance with the provisions of sub–section (1) shall be paid by theCentral Government to the Company in addition to the amount specified insection 7.
(3) For the removal of doubts,it is hereby declared that the liabilities of the Company, in relation to itsundertakings which have vested in the Central Government under section 3, shallbe discharged from the amount referred to in section 7, and also from theamount determined under sub–section (1) in accordance with the rightsand interests of the creditors of the Company.
MANAGEMENT, ETC., OF THE UNDERTAKINGS OF THE COMPANY
9.Management etc., of theundertakings of the Company: The general superintendence, direction, control and management ofthe affairs and business of the undertakings of the Company, the right, titleand interest in relation to which have vested in the Central Government undersection 3, shall, where a direction has been made by the Central Governmentunder sub–section (1) of section 6, vest in Andrew Yule and thereuponAndrew Yule shall be entitled to exercise, to the exclusion of all otherpersons, all such powers and do all such things as the Company was authorisedto exercise and do in relation to its undertakings.
10.Duty of persons in charge ofmanagement of the undertakings of the Company to deliver all assets, etc.: (1) On the vesting of themanagement of the undertakings of the Company in Andrew Yule, all persons incharge of the management of the undertakings of the Company immediately beforesuch vesting, shall be bound to deliver to Andrew Yule, all assets, books of account,registers and other documents in their custody relating to the undertakings ofthe Company.
(2) The Central Government mayissue such directions as it may deem desirable in the circumstances of the caseto Andrew Yule and that company may also, if it is considered necessary so todo, apply to the Central Government at any time for instructions as to themanner in which the management of the undertakings of the Company shall beconducted or in relation to any other matter arising in the course of suchmanagement.
11.Duty of persons to accountfor assets, etc., in their possession: (1) Any person who has, on the appointed day, in hispossession or under his control, any assets, books, documents or other papersrelating to any of the undertakings owned by the Company, which have vested inthe Central Government or in Andrew Yule under this Act, and which belong tothe Company or would have so belonged, if the undertakings owned by the Companyhad not vested in the Central Government or Andrew Yule, shall be liable toaccount for the said assets, books, documents and other papers to the CentralGovernment or Andrew Yule and shall deliver them up to the Central Governmentor Andrew Yule or to such person or persons as the Central Government or AndrewYule may specify in this behalf.
(2) The Central Government orAndrew Yule may take or cause to be taken all necessary steps for securingpossession of the undertakings of the Company which have vested in the CentralGovernment or Andrew Yule under this Act,
(3) The Company shall, withinsuch period as the Central Government may allow in this behalf, furnish to thatGovernment a complete inventory of all its properties and assets, as on theappointed day, pertaining to the undertakings which have vested in the CentralGovernment under section 3, and, for this purpose, the Central Government orAndrew Yule shall afford to the Company all reasonable facilities.
PROVISIONS RELATING TO THE EMPLOYEES OF THE COMPANY
12.Continuance of employees: (1) Every person who has been,immediately before the appointed day, employed in any of the undertakings ofthe Company shall become, –
(a) on and from the appointedday, an employee of the Central Government; and
(b) where the undertakings ofthe Company are directed under sub–section (1) or section 6 to vest inAndrew Yule, an employee of Andrew Yule on and from the date of such vesting,
and shall hold office orservice under the Central Government or Andrew Yule, as the case may be, withthe same rights and privileges as to pension, gratuity and other matters aswould have been admissible to him if there had been no such vesting and shallcontinue to do so unless and until his employment under the Central Governmentor Andrew Yule, as the case may be, is duly terminated or until hisremuneration and other conditions of service are duly altered by the CentralGovernment or Andrew Yule, as the case may be.
(2) Notwithstanding anythingcontained in the Industrial Disputes Act, 1947(14 of 1947), or in any other lawfor the time being in force, the transfer of the services of any officer orother person employed in any undertaking of the Company to the CentralGovernment or Andrew Yule shall not entitle such officer or other employee toany compensation under this Act or under any order law for the time being inforce and no such claim shall be entertained by any court, tribunal or otherauthority.
13.Provident fund and otherfunds: (1) Where the Company hasestablished a provident fund, superannuation fund, welfare fund or any otherfund for the benefit of the persons employed in any of the undertakings of theCompany, the monies relatable to the officers or other employees, whoseservices have become transferred, by or under this Act, to the CentralGovernment or Andrew Yule, shall, out of the monies standing, on the appointedday, to the credit of such provident fund, superannuation fund, welfare fund orother fund, stand transferred to, and vest in, the Central Government or AndrewYule, as the case may be.
(2) The monies which standtransferred under sub–section (1) to the Central Government or AndrewYule, as the case may be, shall be dealt with by that Government or thatcompany in such manner as may be prescribed.
COMMISSIONER OF PAYMENTS
14.Appointment of Commissionerof Payments: (1) TheCentral Government shall, for the purpose of disbursing the amounts payable tothe Company under sections 7 and 8, by notification, appoint a Commissioner ofPayments.
(2) The Central Government mayappoint such other persons as it may think fit to assist the Commissioner andthereupon the Commissioner may authorise one or more of such persons also toexercise all or any of the powers exercisable by him under this Act anddifferent persons may be authorised to exercise different powers.
(3) Any person authorised bythe Commissioner to exercise any of the powers exercisable by the Commissionermay exercise those powers in the same manner and with the same effect as ifthey have been conferred on that person directly by this Act and not by way ofauthorisation.
(4) The salaries and allowancesof the Commissioner and other persons appointed under this section shall bedefrayed out of the Consolidated Fund of India.
15.Payment by the CentralGovernment to the Commissioner: (1) The Central Government shall, within thirty days from thespecified date, pay in case to the Commissioner, for payment to the Company–
(a) an amount equal to theamount specified in section 7, and
(b) an amount equal to theamount payable to the Company under section 8.
(2) A deposit account shall beopened by the Central Government in favour of the Commissioner, in the PublicAccount of India, and every amount paid under this Act to the Commissionershall be deposited by him to the credit of the said deposit account and thesaid deposit account shall be operated by the Commissioner.
(3) Records shall be maintainedby the Commissioner in respect of the undertakings of the Company in relationto which payment has been made to him under this Act.
(4) The interest accruing onthe amount standing to the credit of the deposit account referred to in sub–section(2) shall ensure to the benefit of the Company.
16.Certain powers of theCentral Government or Andrew Yule: (1) The Central Government or Andrew Yule, as the case may be,shall be entitled to receive up to the specified date, to the exclusion of allother persons, any money due to the Company, in relation to its undertakingswhich have vested in the Central Government or Andrew Yule, and realised afterthe appointed day, notwithstanding that the realisation pertains to a periodprior to the appointed day.
(2) The Central Government orAndrew Yule, as the case may be, may make a claim to the Commissioner withregard to every payment made by it after the appointed day for discharging anyliability of the Company in relation to any period prior to the appointed day;and every such claim shall have priority in accordance with the prioritiesattaching, under this Act, to the matter in relation to which such liabilityhas been discharged by the Central Government or Andrew Yule.
(3) Save as otherwise providedin this Act, the liabilities of the Company in respect of any transaction priorto the appointed day, which have not been discharged on or before the specifieddate, shall be the liabilities of the Company.
17.Claims to be made to theCommissioner: Everyperson having a claim against the Company with regard to any of the mattersspecified in the Schedule pertaining to the undertakings of the Company shallprefer such claim before the Commissioner within thirty days from the specifieddate:
Provided that if theCommissioner is satisfied that the claimant was prevented by sufficient causefrom preferring the claim within the said period of thirty days, he mayentertain the claim within a further period of thirty days and not thereafter.
18.Priority of claims: The claims made under section17 shall have priorities in accordance with the following principles, namely: –
(a) Category I shall haveprecedence over all other categories and Category II shall have precedence overCategory III, and so on;
(b) the claims specified ineach of the categories, shall rank equally and be paid in full, but, if theamount is insufficient to meet such claims in full, they shall abate in equalproportions and be paid accordingly; and
(c) the question of dischargingany liability with regard to a matter specified in a lower category shall ariseonly if a surplus is left after meeting all the liabilities specified in theimmediately higher category.
19.Examination of claims: (1) On receipt of the claimsmade under section 17, the Commissioner shall arrange the claims in the orderof priorities specified in the Schedule and examine the same in accordance withsuch order of priorities.
(2) If, on examination of theclaims, the Commissioner is of opinion that the amount paid to him under thisAct is no sufficient to meet the liabilities specified in any lower category heshall not be required to examine the claims in respect of such lower category.
20.Admission or rejection ofclaims: (1) After examining the claimswith reference to the priorities set out in the Schedule, the Commissionershall fix a certain date on or before which every claimant shall file the proofof his claim.
(2) Not less than fourteendays’ notice of the date so fixed shall be given by advertisement in one issueof any daily newspaper in the English language having circulation in the majorpart of the country and one issue of any daily newspaper in such regionallanguage as the Commissioner may consider suitable, and every such notice shallcall upon the claimant to file the proof of his claim with the Commissionerwithin the period specified in the advertisement.
(3) Every claimant who fails tofile the proof of his claim within the time specified by the Commissioner shallbe excluded from the disbursements made by the Commissioner.
(4) The Commissioner shall,after such investigation as may, in his opinion, be necessary and after givingthe Company an opportunity of refuting the claim and after giving the claimanta reasonable opportunity of being heard, by order in writing, admit or rejectthe claim in whole or in part.
(5) The Commissioner shall havethe power to regulate his own procedure in all matters arising out of thedischarge of his functions, including the place or places at which he may holdhis sittings and shall, for the purpose of making an investigation under thisAct, have the same powers as are vested in a civil court under the Code ofCivil Procedure, 1908(5 of 1908), while trying a suit, in respect of thefollowing matters, namely: –
(a) the summoning and enforcingthe attendance of any witness and examining him on oath;
(b) thediscovery and production of any document or other material object producible asevidence;
(c) the reception ofestablishment on affidavits;
(d) the issuing of anycommission for the examination of witnesses.
(6) Any investigation beforethe Commissioner shall be deemed to be a judicial proceeding within the meaningof sections 193 and 228 of the Indian Penal Code(45 of 1860) and theCommissioner shall be deemed to be a civil court for the purposes of section195 and Chapter XXVI of the Code of Criminal Procedure, 1973(2 of 1974).
(7) A claimant, who isdissatisfied with the decision of the Commissioner, may prefer an appealagainst the decision to the principal civil court of original jurisdictionwithin the local limits of whose jurisdiction the registered office of theCompany is situated:
Provided that where a personwho is a Judge of a High Court is appointed to by the Commissioner, such appealshall lie to the High Court of Madras and such appeal shall be heard anddisposed of by not less than two Judges of the High Court.
21.Disbursement of money by theCommissioner to claimants: After admitting a claim under this Act, the amount due in respectof such claim shall be paid by the Commissioner to the person or persons towhom such amount is due, and on such payment, the liability of the Company inrespect of such claim shall stand discharged.
22.Disbursement of amounts tothe Company: (1) If,out of the monies 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 Company.
(2) Where the possession of anymachinery, equipment or other property has vested in the Central Government orAndrew Yule under this Act, but such machinery, equipment or other propertydoes not belong to the Company, it shall be lawful for the Central Governmentor Andrew Yule to continue to possess such machinery or equipment or otherproperty on the same terms and conditions under which they were possessed bythe Company immediately before the appointed day.
23.Undisbursed or unclaimedamount to be deposited to the general revenue account: Any money paid to theCommissioner which remains undisbursed or unclaimed on the date immediatelypreceding the date on which the office of the Commissioner is finally wound up,shall be transferred by the Commissioner, before his office is finally woundup, to the general revenue account of the Central Government; but a claim toany money so transferred may be preferred to the Central Government by theperson entitled to such payment and shall be dealt with as if such transfer hadnot been made, and the order, if any, for payment of the claim, being treatedas an order for the refund of revenue.
24.Act to have overridingeffect: The provisions of this Actshall have effect notwithstanding anything inconsistent therewith contained inany other law for the time being in force or in any instrument having effect byvirtue of any law, other than this Act or in any decree or order of any court,tribunal or other authority.
25.Contracts to cease to haveeffect unless ratified by the Central Government or Andrew Yule: Every contract entered into bythe Company in relation to its undertakings, which has vested in the CentralGovernment under section 3, for any service, sale or supply and in forceimmediately before the appointed day, shall, on and from the expiry of onehundred and eighty days from the appointed day, cease to have effect unlesssuch contract is, before the expiry of that period, ratified, in writing, bythe Central Government or Andrew Yule, in which such undertakings have beenvested under this Act, and in ratifying such contract, the Central Governmentor Andrew Yule may make such alteration or notification therein as it may thinkfit;
Provided that the CentralGovernment or Andrew Yule shall not omit to ratify a contract and shall notmake any alteration or modification in a contract–
(a) unless it is satisfied thatsuch contract is unduly onerous or has been entered into in bad faith or isdetrimental to the interests of the Central Government or Andrew Yule; and
(b) except after giving to theparties to the contract a reasonable opportunity of being heard and exceptafter recording in writing its reasons for refusal to ratify the contract orfor making any alteration or modification therein.
26.Protection of action takenin good faith: (1) Nosuit, prosecution or other legal proceeding shall lie against the CentralGovernment or any officer or other employee of that Government or Andrew Yuleor other person authorised by the Central Government or Andrew Yule foranything which is in good faith done or intended to be done under this Act.
(2) No suit or other legalproceeding shall lie against the Central Government or any of its officers orother employees or Andrew Yule or other person authorised by the CentralGovernment or Andrew Yule for any damage caused or likely to be caused byanything which is in good faith done or intended to be done under this Act.
27.Delegation of powers: (1) The Central Governmentmay, by notification, direct that all or any of the powers exercisable by itunder this Act, other than the powers conferred by this section, section 30 andsection 31, may also be exercised by such person or persons as may be specifiedin the notification.
(2) Whenever any delegation ofpower is made under sub–section (1), the person to whom such power hasbeen delegated shall act under the direction, control and supervision of theCentral Government.
28.Penalties: Any person who, –
(a) having in his possession,custody or control any property forming part of the undertakings of theCompany, wrongfully withholds such property from the Central Government orAndrew Yule; or
(b) wrongfully obtains possessionof, or retains, any property forming part of the undertakings of the Company;or
(c) wilfully withholds or failsto furnish to the Central Government or Andrew Yule or any person or body ofpersons specified by that Government or Andrew Yule, as the case may be, anydocument relating to the undertakings of the Company, which may be in hispossession, custody or control; or
(d) fails to deliver to theCentral Government or Andrew Yule or to any person or body of persons specifiedby that Government or Andrew Yule, any assets, books of account, registers orother documents in his possession, custody or control, relating to theundertakings of the Company; or
(e) wrongfully removes ordestroys any property forming part of the undertakings of the Company; or
(f) prefers any claim underthis Act which he knows or has reasonable cause to believe to be false orgrossly inaccurate,
shall be punishable withimprisonment for a term which may extend to two years, or with fine which mayextend to ten thousand rupees, or with both.
29.Offences by companies: (1) Where an offence underthis Act has been committed by a company, every person who, at the time theoffence 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, shallbe deemed to be guilty of the offence and shall be liable to be proceededagainst and punished accordingly:
Provided that nothing containedin 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 hehad exercised all due diligence to prevent the commission of such offence.
(2) Notwithstanding anythingcontained in sub–section (1), where any offence under this Act has beencommitted by a company and it is proved that the offence has been committedwith the consent or connivance of, or is attributable to any neglect on thepart of, any director, manager, secretary or other officer of the company, suchdirector, manager, secretary or other officer shall be deemed to be guilty ofthat offence and shall be liable to be proceeded against and punishedaccordingly.
Explanation: For thepurpose of this section, –
(a)"company" means any body corporate and includes a firm or otherassociation of individuals; and
(b) "director", inrelation to a firm means a partner in the firm.
30.Power to make rules: (1) The Central Governmentmay, by notification, make rules for carrying out the provisions of this Act.
(2) In particular, and withoutprejudice to the generality of the foregoing power, such rules may provide forall or any of the following matters, namely: –
(a) the time within which, andthe manner in which, an intimation shall be given to the Commissioner under sub–section(3) of section 4;
(b) the manner in which themonies in any provident fund or other fund under section 13 shall be dealtwith;
(c) any other matter which isrequired to be, or may be, prescribed.
(3) Every rule made by theCentral Government under this Act shall be laid, as soon as may be after it ismade, before each House of Parliament, while it is in session, for a totalperiod of thirty days which may be comprised in one session or in two or moresuccessive sessions, and if, before the expiry of the session immediatelyfollowing the session or the successive sessions aforesaid, both Houses agreein making any modification in the rule or both Houses agree that the ruleshould not be made, the rule 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.
31.Power to removedifficulties: If anydifficulty arises in giving effect to the provisions of this Act, the CentralGovernment may, by order, not inconsistent with provisions of this Act, removethe difficulty:
Provided that no such ordershall be made after the expiry of a period of two years from the appointed day.
32.Repeal and saving: (1) The Transformer andSwitchgear Limited (Acquisition and Transfer of Undertakings) Ordinance, 1983,is hereby repealed.
(2) Notwithstanding suchrepeal, anything done or any action taken under the said Ordinance shall bedeemed to have been done or taken under the corresponding provisions of thisAct.
(Seesections 17, 19, 20 and 22)
ORDER OF PRIORITIES FOR THE DISCHARGE OF LIABILITIES OF THECOMPANY
(a) Wages, salaries and otherdues payable to the employees of the Company.
(b) Deductions made from thesalaries and wages of the employees for provident fund, Employees’ StateInsurance contribution, premium relating to Life Insurance Corporation of Indiaor for any other purposes.
(c) Arrears in relation tocontributions to be made by the Company to the provident fund, Employees’ StateInsurance Fund. Life Insurance Corporation premium and any other arrearunder any law for the time being in force (excluding gratuity).
Principal amount of securedloans advanced by–
(i) Central Government;
(ii) State Government;
(iv) Public financialinstitutions;
Principal amount of unsecuredloans advanced by –
(i) Central Government;
(ii) State Government
(iv) Public financialinstitutions.
(a) Any credit availed of bythe Company for the purpose of carrying on any trading or manufacturingoperations.
(b) Any dues payable to theState Electricity Boards or other Government or semi–Governmentinstitutions for supply of goods or services.
(c) Arrears of interest onloans and advances.
(a) Revenue, taxes, cesses,rates or other dues to Central Government, State Government and localauthorities.
(b) Any other loans or dues.