Chapter II Chapter II

Establishment, incorporation and constitution of the Khadi and Village Industries Board

Establishment and incorporation of Board.—

1. (1) With effect from such date as the Government may by notification appoint in this behalf, there shall be established a Board to be called the Goa, Daman and Diu Khadi and Village Industries Board.
2. (2) The Board shall be a body corporate having perpetual succession and a common seal and may sue and be sued in its corporate name and shall be competent to acquire, hold and dispose of property and to contract and do all things necessary for the purpose of this Act.

Constitution of Board.—

1. (1) The Board shall consist of 1[“nine members”]. The majority of the members shall be non-officials. Only such non-officials as have shown an active interest in the production and development of Khadi or in the development of village industries shall be appointed as members. The appointment of all the members shall however, be made by Government in consultation with the Khadi and Village Industries Commission.
2. (2) One of the members of the Board shall be appointed by Government 2[“in consultation with the Khadi and Village Industries Commission”] as the Chairman of the Board.
3. (3) Government may appoint 3[“in consultation with the Khadi and Village Industries Commission”] 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. (4) Government shall after consultation with the Board 4[“and the Khadi and Village Industries Commission”] appoint a non-official member other than the Chairman and Vice-Chairman to be the Secretary of the Board.
5. (5) 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 in by appointment by Government and the member appointed in such vacancy shall hold office for the unexpired term of his predecessor.
6. (6) The Chairman, Vice-Chairman, Secretary and other members of the Board shall receive such allowances as may be prescribed and all such allowances shall be paid from the fund of the Board.

Financial Adviser of the Board.—

1. (1) Government shall appoint 5[“in consultation with the Khadi and Village Industries Commission”] a person not being a member to be the Financial Adviser to the Board.
2. (2) The term of office, the conditions of service and the functions of the Financial

Resignation of office by Member Resignation of office by Member.— Any member may resign his office by giving notice in writing to Government and on such resignation being notified in the Official Gazette by Government, shall be deemed to have vacated his office.

Proceedings presumed to be good and valid.— No Act or proceeding of a Board shall be questioned or 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.

Temporary Association of persons with the Board for particular purposes.—

1. (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 persons whose assistance or advice it may desire in complying with any of the provisions of this Act.
2. (2) A person associated with the Board under sub-section
3. (1) for any purpose shall have the right to take part in the discussion of the Board relevant to that purpose, but shall not have the right to vote and shall not be a member for any other purpose.
4. (3) 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.

Meetings of the Board.—

1. (1) The Board shall meet at such times and places and shall, subject to the provisions of sub-section
2. (2) to
3. (4) observe such rules of procedure in regard to transaction of business at its meeting (including the quorum at meetings) as may be provided by regulations made by the Board under this Act.

Provided that the Board

shall meet at least once in every two months.

1. (2) The Chairman may, whenever he thinks fit, call special meetings of the Board.
2. (3) The Chairman or in his absence the Vice-Chairman or if he is also absent, such member as may be chosen by the members present from among themselves shall preside at a meeting of the Board.
3. (4) 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 person presiding, shall have a second or casting vote.
4. (5) The proceedings of the meeting of the Board shall be forwarded to Government and the Khadi and Village Industries Commission within fifteen days of every meeting.

Terms of Office and conditions of service of Chairman, Vice-Chairman, Secretary and other members of Board.— The term of office and the terms and conditions of service of the Chairman, the Vice-Chairman, the Secretary, and other members of the Board shall be such as may be prescribed.

Powers and Duties of the Secretary.— 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 Government or by the Chairman.

Officers and servants of Board and conditions of their services.— (1)

1. (a) The Board shall appoint an Executive Officer to manage the affairs of the Board.
2. (b) The functions, duties and powers of the Executive Officer shall be such as may be fixed by the Board, with the prior approval of Government.
3. (c) The Executive Officer may be a Government servant whose services are placed at the disposal of the Board by Government and if he is a Government servant his remuneration, allowances and other conditions of service shall be such as may be fixed by Government.

1. (2) The Board may appoint such other officers and servants as it may consider necessary for the efficient discharge of its functions: Provided that the Board may delegate its powers in this behalf to the Chairman or other members or officers of the Board.
2. (3) Subject to the provisions of clause
   • (c) of sub-section (1), the remuneration, allowances and other conditions of service of the officers and servants of the Board shall be such as may be determined by regulations.

Standing Finance Committee.— The Board may constitute from among the members of the Board a Standing Finance Committee to exercise such powers and perform such functions relating to finances of the Board as may be laid down by Regulations made by the Board.

Appointment of other Committees.— Subject to any rules made in this behalf, 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 purposes of securing that the functions are discharged with due regard to the circumstances and requirements of Khadi or any particular Village Industry. Such Committees may be appointed for any particular areas.