Chapter IV CONDUCT OF BUSINESS

Chairman under any other provision of this Act,-

1. (1) The Chairman of the market committee shall be the chief controlling and supervising officer of the market committee. All officers and servants of the market committee shall, subject to the provisions of this Act, the rules, the bye-laws and the directions, if any, given by the committee, be subject to his control.
2. (2) The Chairman shall,-
   • (a) preside over the meetings of the market committee and the sub-committees and conduct business at such meetings;
   • (b) watch over the financial and executive administration of the market committee;
   • (c) exercise supervision and control over the officers and servants (whether such officers or servants are Government servants or not) of the market committee in matters of executive administration, concerning accounts and records and disposal of all questions relating to the service of the employees; and
   • (d) in cases of emergency, direct the execution or stoppage of any work or the doing

of any act which requires the sanction of the market committee.

The Vice-Chairman of the market committee shall,- (a) save as otherwise provided in this Act or the rules, in the absence of the Chairman, preside over the meeting of the market committee and the sub-committees: 1[(b) x x x] (c) exercise the powers and perform the duties of the Chairman, pending the election of the Chairman or during the absence of the Chairman on leave. 1. Omitted by Act 16 of 1991 w.e.f. 1.8.1991

1. (a) save as otherwise provided in this Act or the rules, in the absence of the Chairman, preside over the meeting of the market committee and the sub-committees: 1[(b) x x x]
2. (c) exercise the powers and perform the duties of the Chairman, pending the election of the Chairman or during the absence of the Chairman on leave.

¹ Omitted by Act 16 of 1991 w.e.f. 1.8.1991

(1) A market committee shall meet for the transaction of its business at least once in every month at the office of the market committee on such date and at such time, as the Chairman may determine:

Provided that the market committee may, in special circumstances meet at any other place in the market area if by a resolution passed to that effect, it directs that any meeting of the market committee shall be convened to meet at any place in the said area other than in the office of the market committee.

1. (2) The Chairman may, whenever he thinks fit, and shall, upon the written request of not less than one third of the total number of members and on a date within 1[fifteen days] from the receipt of such request, call a special meeting. Such request shall specify the object for which the meeting is proposed to be called.
2. (3) If the Chairman fails to call a special meeting as provided in sub-section (2), the Vice- Chairman or one third of the total number of members may call such meeting for a day not more than 1[thirty days] after the presentation of such request and require the Secretary to give notice to the members and take such action as may be necessary to convene the said meeting and on such request the Secretary shall convene the meeting accordingly.
3. (4) Seven clear days' notice of an ordinary meeting and five clear days' notice of a special meeting specifying the date, time and place at which such meeting is to be held and the business to be transacted thereat, shall be sent to the members entitled to attend the meeting and affixed on the notice board of the office of the market committee. Such notice shall include, in the case of a special meeting, any motion or proposition to be considered at such meeting: Provided that in case of urgency, the Chairman may, for reasons to be recorded in writing, convene a special meeting of the market committee by giving thirty-six hours previous notice to the members.

¹ Substituted by Act 16 of 1991 w.e.f. 1.8.1991.

(1) As nearly as may be, one-third of the total number of members of the market committee shall form a quorum for transacting the business at a meeting of the committee. If within half-an- hour from the time appointed for the meeting, the quorum is not present, the presiding authority shall adjourn the meeting to such hour on some future date as may be fixed by such authority. The presiding authority shall similarly adjourn the meeting at any time after it has begun, if his attention is drawn to the want of a quorum. At such adjourned meeting at which there is a quorum, the business which could have been brought before the original meeting shall be transacted. (2) Every meeting shall be open to the public unless the presiding authority deems any inquiry or deliberation pending before the committee should be held in camera: Provided that the presiding authority may at any time, cause any person who interrupts the proceedings to be removed and for the purpose such force as may be necessary may be used. (3) Every meeting shall be presided over by the Chairman, or, if he is absent, or is disqualified to preside by the Vice-Chairman, and if both the Chairman and Vice-Chairman are absent or disqualified to preside or if the Chairman is absent and there is no Vice- Chairman, by such one of the members present in the meeting as may be chosen by the meeting to be the Chairman for the occasion. No quorum shall be necessary for choosing a member for presiding over a meeting for adjourning such meeting for want of quorum. (4) All Questions shall, unless otherwise specially provided in this Act, the rules or the bye- laws, be decided by majority of votes of the members present and voting. The presiding authority, unless he refrains from voting, shall give his vote before declaring the number of votes for and against a question and in case of equality of votes, he shall give an additional or casting vote. (5) No member of a market committee shall vote on, or take part in the discussions of, any question coming up for consideration at a meeting of the market committee or any sub- committee, if the question is one in which, apart from its general application to the public, he has any direct or indirect pecuniary interest. (6) If the presiding authority is believed by any member present at the meeting to have any such pecuniary interest in any matter under discussion, and if a motion to that effect is carried, he shall not preside at the meeting during such discussion, or vote on, or take part in it. Any member of the committee may be chosen to preside at the meeting during the continuance of such discussion. (7) No business shall be transacted and no proposition shall be discussed at any meeting unless it has been specified in the notice convening such meeting: Provided that the Chairman may propose any urgent subject of a routine nature not included in the notice if no member objects to it: Provided further that a member may propose any resolution connected with or incidental to the subjects included in the notice. (8) The order in which any business or proposition shall be brought forward in such meetings shall be determined by the presiding authority who in case it is proposed by any member to give priority to any particular item of such business, or to any particular proposition, shall act in accordance with the decision of the committee on such proposal. (9) Any ordinary meeting may, with the consent of the majority of the members present, be adjourned from time to time, but no business shall be transacted at any adjourned meeting other than that left undisposed of at the meeting from which the adjournment took place.

1. (2) Every meeting shall be open to the public unless the presiding authority deems any inquiry or deliberation pending before the committee should be held in camera: Provided that the presiding authority may at any time, cause any person who interrupts the proceedings to be removed and for the purpose such force as may be necessary may be used.
2. (3) Every meeting shall be presided over by the Chairman, or, if he is absent, or is disqualified to preside by the Vice-Chairman, and if both the Chairman and Vice-Chairman are absent or disqualified to preside or if the Chairman is absent and there is no Vice- Chairman, by such one of the members present in the meeting as may be chosen by the meeting to be the Chairman for the occasion. No quorum shall be necessary for choosing a member for presiding over a meeting for adjourning such meeting for want of quorum.
3. (4) All Questions shall, unless otherwise specially provided in this Act, the rules or the bye- laws, be decided by majority of votes of the members present and voting. The presiding authority, unless he refrains from voting, shall give his vote before declaring the number of votes for and against a question and in case of equality of votes, he shall give an additional or casting vote.
4. (5) No member of a market committee shall vote on, or take part in the discussions of, any question coming up for consideration at a meeting of the market committee or any sub- committee, if the question is one in which, apart from its general application to the public, he has any direct or indirect pecuniary interest.
5. (6) If the presiding authority is believed by any member present at the meeting to have any such pecuniary interest in any matter under discussion, and if a motion to that effect is carried, he shall not preside at the meeting during such discussion, or vote on, or take part in it. Any member of the committee may be chosen to preside at the meeting during the continuance of such discussion.
6. (7) No business shall be transacted and no proposition shall be discussed at any meeting unless it has been specified in the notice convening such meeting: Provided that the Chairman may propose any urgent subject of a routine nature not included in the notice if no member objects to it: Provided further that a member may propose any resolution connected with or incidental to the subjects included in the notice.
7. (8) The order in which any business or proposition shall be brought forward in such meetings shall be determined by the presiding authority who in case it is proposed by any member to give priority to any particular item of such business, or to any particular proposition, shall act in accordance with the decision of the committee on such proposal.
8. (9) Any ordinary meeting may, with the consent of the majority of the members present, be adjourned from time to time, but no business shall be transacted at any adjourned meeting other than that left undisposed of at the meeting from which the adjournment took place.

No resolution of the market committee shall be modified or cancelled within six months after the passing thereof, except by a resolution passed by not less than

1[two-thirds of

¹ Substituted by Act 35 of 1986 w.e.f. 17.6.1986

² Substituted by Act 16 of 1991 w.e.f. 1.8.1991

2[all the then members] of the market committee] present at an ordinary or special meeting, notice whereof shall have been given setting forth fully the resolution which it is proposed to modify or cancel in such meeting and the motion or proposition for the modification or cancellation of such resolution.

Minutes shall be kept of the names of the members present and of the proceedings, at each meeting of the committee, and if any member present at the time so desires, of the names of the members voting, respectively for or against the resolution, in a book to be provided for this purpose, which shall be signed as soon as practicable by the Secretary and the presiding authority of such meeting and shall at all reasonable times, be open to inspection by any member of the committee, or save as otherwise provided in the rules, on payment of the fee prescribed in the bye-laws by any person entitled to vote at the elections of members of the market committee.

Minutes of every meeting of the market committee shall be read at the commencement of every subsequent meeting and confirmed as they are recorded or with such modification if any to be made therein consistent with the transaction of business at the meeting to which they relate.

(1) A member of a market committee may move resolutions and interpellate the Chairman on matters concerned with the administration of the market committee, subject to such bye-laws as may be made by the committee.

1. (2) A member of a market committee may also call the attention of the Chairman to any neglect or irregularity in the affairs of the market committee, any waste of property belonging to the market committee, or to the want of any amenities within the market area or to any general or particular grievance relating to the regulation of the market, and may suggest any improvements which may be desirable.
2. (3) A market committee may pass and submit for the consideration of the 1[Director of Agricultural Marketing] resolutions on any question connected with the administration of the market area.

¹ Substituted by Act 35 of 1986 w.e.f. 17.6.1986

Subject to the provisions of this Act and the rules, the procedure at a meeting of the market committee or at the meetings of the sub-committees of a market committee shall be in accordance with the bye- laws made for that purpose.

(1) No contract or agreement on behalf of the market committee for the purchase, sale, lease, mortgage or other transfer of or acquisition of interest in immoveable property shall be executed on behalf of the market committee except with the sanction of the market committee: Provided that in cases where the powers under this sub-section in respect of any matters are delegated to a sub-committee, sanction of such sub-committee shall be obtained.

1. (2) Save as provided in sub-section (1),-
   • (i) the Secretary of the market committee may execute contracts or agreements on behalf of the market committee where the amount or value of such contract or agreement does not exceed 4[such amount as may be prescribed] regarding

matters in respect of which he is generally or specially authorised to do so by a resolution of the market committee;

2[(ii) in any case other than the one referred to in clause (i), a contract or agreement on behalf of the market committee shall be executed by the Chairman and Secretary of the market committee;]

3[(iii) x x x]

1. (3) Every contract entered into by the market committee shall be in writing and shall be signed on behalf of the market committee by the person or persons authorised to do so under the provisions of sub-section (2);
2. (4) No contract other than a contract executed as provided in sub-sections (1), (2) and
3. (3) shall be valid or binding on the market committee;
4. (5) Where a contract or agreement is entered into on behalf of a market committee, the Secretary of the market committee shall report the fact to the market committee at its meeting convened on any date next after the date of the entering into of such contract or agreement. 1[(6) The provisions of sub-sections (1) to (5) shall apply also to contracts relating to execution of any works proposed to be carried out at the expense of the market committee: Provided that if such works are undertaken with the assistance by way of grant by the State Government or the Central Government or by way of loan from any financing agency the repayment of which has been guaranteed by the State Government, the contract shall be entered into by an officer of the State Government authorised by it and the work shall be executed under the supervision of such officer.] 2.

¹ Substituted by Act 17 of 1980 w.e.f. 3.11.1979.

Substituted by Act 35 of 1986 w.e.f. 17.6.1986.

³ Omitted by Act 35 of 1986 w.e.f. 17.6.1986.

⁴ Substituted by Act 16 of 1991 w.e.f. 1.4.1994.

Subject to the powers of the Chairman under section 46 and the other provisions of this Act or the rules, the Secretary shall be the chief executive officer

1[and the custodian of all the records and properties]

of the market committee, and shall exercise and perform the following powers and duties, in addition to such other duties as may be specified in this Act, the rules or bye-laws, namely:-

1. (i) convene 3[in consultation with the Chairman] the meetings of the market committee

and of the sub-committees, if any, and maintain the minutes of the proceedings thereof;

1. (ii) attend the meeting of the market committee and of every sub-committee and take part in the discussion but shall not move any resolution or vote at any such meeting;
2. (iii) take action to give effect to the resolutions of the committee and of the sub- committees, and report about all actions taken in pursuance of such resolutions, to the committee, as soon as possible;
3. (iv) furnish to the market committee such returns, statements, estimates, statistics and reports as the market committee may from time to time require including reports,- (a) regarding the fines and penalties levied on, and any disciplinary action taken against the members of the staff and the market functionaries and others; (b) regarding over-trading by traders; (c) regarding contraventions of the Act, the rules, the bye-laws or the standing orders by any person; (d) regarding the suspension or cancellation of licences 2[by him or by the Chairman] or the 2[Director of Agricultural Marketing] ; (e) regarding the administration of the market committee and the regulation of the marketing;
4. (v) produce before the committee such documents, books, registers and the like as may be necessary for the transaction of the business of the committee or the sub- committees, and also whenever called upon by the market committee to do so;
5. (vi) exercise supervision and control over the acts of all officers servants of the committee;
6. (vii) collect fees and other moneys leviable by or due to the market committee;
7. (viii) be responsible for all moneys credited to or received on behalf of the market committee;
8. (ix) make disbursements of all moneys lawfully payable by the market committee;
9. (x) report to the Chairman and the 2[Director of Agricultural Marketing] 4[immediately in respect of fraud, illegal acts] , embezzlement, theft or loss of market committee funds or property;
10. (xi) prefer complaints in respect of prosecutions to be launched on behalf of the market committee and conduct proceedings, civil or criminal, on behalf of the market committee.

¹ Inserted by Act 17 of 1980 w.e.f. 3.11.1979

² Substituted by Act 35 of 1986 w.e.f. 17.6.1986.

³ Inserted by Act 16 of 1991 w.e.f. 1.8.1991.

⁴ Substituted by Act 16 of 1991 w.e.f. 1.8.1991.

No act of a market committee, or of any sub-committee thereof, or of any persons acting as a member, Chairman, Vice-Chairman, presiding authority or Secretary shall be deemed to be invalid by reason only of some defect in the constitution or appointment of such market committee, sub-committee, members, Chairman, Vice-Chairman, Presiding authority or Secretary or on the ground that they, or any of them, were disqualified for such office, or that formal notice of the intention to hold a meeting of the committee or of the sub-committee was not given duly or by reason of such act having been done during the period of any vacancy in the office of the Chairman, Vice- Chairman, or Secretary or member of such committee or sub-committee or for any other informality not affecting the merits of the case.