Chapter III Chapter III

Functions and Powers of the Board

The functions of the Board shall be, —

1. (i) generally, to promote the State as an investment destination nationally and internationally;
2. (ii) notwithstanding anything contained in any other State law for the time being in force, to exercise the powers of any competent authority for the purpose of promoting and facilitating investments;
3. (iii) subject to the provisions of this Act to,—

1. (a) facilitate grant of approvals from the competent authorities under the relevant Statutes;
2. (b) facilitate grant of approvals from the Central/other State Government departments/agencies, bodies and Corporations, etc. owned by any other State;
   • (iv) in particular and without prejudice to the generality of the foregoing functions, to perform all or any of the following functions, namely:-
3. (a) approve, reject, review, cancel or revoke any investment proposal with respect to the criteria specified in subsection (1) of section 5 as also with reference to the proposal referred by it under sub- section (2) of section 5 to the Sub-Committee constituted under section 17;
4. (b) appoint such other committees to assist the Board in the performance of its functions;
5. (c) appoint such officers to assist the investor in obtaining clearances in a timely manner and facilitate all clearances, including consent to operate;
6. (d) appoint and manage consultants;
7. (e) forward the application of the investor to the concerned person, officer or

Competent Authority under the State law for processing and disposal within the time limit specified in sub-section

1. (1) of section 39;
   • (f) monitor the status of the applications;
   • (g) pursuant to grant of in principle approval, examine and review any decision taken by any Competent Authority under the relevant State law;
   • (h) draft the approval process and frame guidelines, schemes and Standard Operating procedure for new investments and review and modify such processes, schemes, guidelines and Standard Operating procedure;
     • (i) notify the process and criteria for selection and recommendation of an applicant for allotment of land/plots to special projects.
   • (j) facilitate approvals for investors to set up their units in the State;
   • (k) identify and recommend areas to be notified or de-notified under this Act as Investment Promotion Areas;
   • (l) provide feedback and suggest interventions to the Government on investment climate and policy and regulatory environment;
   • (m) identify infrastructure gaps hindering investment growth in the State and suggest short, medium and long term rolling plans to the Government to bridge the gaps;
   • (n) seek membership of national and international investment promotion agencies including World Association of Investment Promotion Agency to promote the State as an investment destination amongst the national and international trade community;
   • (o) take all necessary measures to boost and promote agricultural industries, cottage industries, dairy farming and eco-tourism;
   • (p) provide time bound dispute and grievance redressal mechanism for investors;
   • (q) frame an exit policy and submit it to the Government for approval, which will set the framework for any industrial unit desirous of shutting down their operations in State;
   • (r) submit its suggestions to the Government in respect of any policies laid down by it as also in respect of Regional Plan, Outline Development Plan, Development Plan, Land Use Maps and/or all other regulations made under various State laws;
   • (s) take special measures to approach and invite investors for promoting industries and boosting investments in the State;
   • (t) adopt, apply and implement any Central Government Scheme for promoting industries in the State;
   • (u) decide on any matters related to the projects approved including but not limited to name change, change in constitution or shareholding, review, cancellation and revocation of proposals;
     • (v) examine proposals for setting up of any project received by it and take appropriate decisions, including recommendation to sanction customized packages for such proposals to the Government.

1. (1) Subject to the provisions of this Act and subject to special directions issued by the Government, the Board shall have all powers

including incidental and ancillary powers to perform, carry out, undertake any function to promote and facilitate investment opportunities in the State.

1. (2) Notwithstanding anything contained in any other State law but subject to the provisions of this Act, the Board, with the previous sanction of the Government may, in

exercise of its powers and performance of its functions under this Act, issue directions in writing to any person, officer or any Competent Authority under the relevant State law and such person, officer or Competent Authority shall be bound to comply with such directions. Explanation: The power to issue directions under this sub-section shall be limited to a person, officer or Competent Authority in the State and it shall include power to direct to consider, grant, approve a particular project with such conditions as the Board may deem fit and proper in the nature and circumstances of the case.

1. (3) Notwithstanding anything contained in any other State law, the Board shall, in case any person, officer or Competent Authority under the State law fails to process and

dispose of application within the time limit specified under sub-section (1) of section 39, have the power to consider and dispose of such application under any such State law and for this purpose, reference to the person, officer or Competent Authority in such State law shall be construed as reference to the Board: Provided that where the Board is unable to meet or otherwise unable to consider the application immediately, the Chairperson of the Board may, for reasons to be recorded in writing, decide the application and report the action taken to the Board in its next meeting and the decision of the Chairperson, on such application shall for all purposes deemed to be the decision of the Board under this subsection.

1. (4) Where clearance is issued by the Board under sub-section (3), the Board after

performing necessary enquiry may recommend to the Government to take appropriate disciplinary action against the defaulting person, officer or Competent Authority, who has failed to dispose of the application within the time limit specified under sub-section (1) of section 39, if it is of the opinion that there was a wilful default in delaying the approval process of application.

1. (5) The Board shall have power to,— (a) acquire, hold and develop such property, both

such conditions as may be deemed proper by the Board;

1. (b) engage suitable consultants to assist the Board in the performance of its functions;
2. (c) delegate any of its powers generally or specially to any of its committees or officers;
3. (d) enter into and perform all such contracts as it may consider necessary or expedient for carrying out any of its functions;
4. (e) do such other things and perform such other acts as it may think necessary or expedient for the proper conduct of its functions and for carrying into effect the purposes of this Act;
5. (f) review and monitor the disposal of applications by the Sub-Committee;
6. (g) seek periodical returns from the investors as to the turn-over, production, employment generated, investment, etc., as determined by the Board;
7. (h) review and monitor the processing of applications by any person, officer or Competent Authority within the time limit stipulated in sub-section (1) of section 39;
   • (i) direct any person or officer or Competent Authority for taking decision on application pending beyond the time limit stipulated in sub-section (1) of section 39.

1. (6) Where clearance is issued by the Board under sub-section (3), the Board shall hav the power to call for reason of delay and may during its meetings call for necessary information and personal appearance of the concerned person, officer or Competent Authority.

All clearances, orders,

this behalf.

The Government may issue to the Board such

follow and act upon such directions.