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The Commonwealth Trust, Kozhikode (Acquisition and Transfer of Undertaking) Act, 2012

The Commonwealth Trust, Kozhikode (Acquisition and Transfer of Undertaking) Act, 2012

Corporate201235 sections7 chapters

This Act provides for the takeover and transfer of the Handloom Weaving Factory in Kozhikode, previously owned by Commonwealth Trust (India) Limited, to the Kerala State Industrial Development Corporation. It applies to the undertaking's owners, buyers of unused factory land, prior creditors, and factory employees. The legislation transfers all assets, rights, and unused properties to the state government and corporation free of encumbrances to establish an industrial museum and production center. It establishes a framework for paying compensation, appointing a Commissioner of Payments to settle past liabilities, and protecting employee rights through continued employment. This law matters because it revitalizes a historical textile unit and safeguards worker livelihoods.

Start reading →Read full ActSections

Chapter 1 PRELIMINARY →

  1. 2Definitions

Chapter II ACQUISITION OF THE RIGHTS OF OWNER OF THE UNDERTAKING →

  1. 3Acquisition of rights of owner in respect of the undertaking
  2. 4General effect of vesting
  3. 5Owner to be liable for certain prior liabilities
  4. 6State Industrial Development Corporation to form subsidiary corporations.
  5. 7Shares to be issued by the State Industrial Development Corporation for the value of the assets transferred to it by Government.

Chapter III PAYMENT OF AMOUNT OR COMPENSATION →

  1. 8Payment of amount to owner of the undertaking.
  2. 9Payment of further amount.
  3. 10Payment of compensation to owners of properties sold and vested in Government.

Chapter IV MANAGEMENT, ETC., OF THE UNDERTAKING →

  1. 11Management, etc., of the undertaking and the land vested in Government.
  2. 12Duty of persons in charge of management of the undertaking to deliver all assets, etc.
  3. 13Accounts.

Chapter V PROVISIONS RELATING TO EMPLOYEES OF THE UNDERTAKING →

  1. 14Employment of certain employees to continue.
  2. 15Provident and other funds.
  3. 16Transfer of employees to Subsidiary Corporation.

Chapter VI COMMISSIONER OF PAYMENTS →

  1. 17Appointment of Commissioner of Payments.
  2. 18Payment by the Government to the Commissioner.
  3. 19Claims to be made to the Commissioner.
  4. 20Priority of claims.
  5. 22Admission or rejection of the claims.
  6. 23Disbursement of money by the Commissioner to claimants.
  7. 24Disbursement of amounts to the owner of the undertaking.
  8. 25Undisbursed or unclaimed amounts to be deposited to the general revenue account.

Chapter VII MISCELLANEOUS →

  1. 26Assumption of liability.
  2. 27Act to over-ride all other enactments.
  3. 28Contracts to cease to have effect unless ratified by the State Industrial Development Corporation.
  4. 29Penalties.
  5. 30Offences by companies.
  6. 31Protection of action taken in good faith.
  7. 32Delegation of powers.
  8. 33Power to remove difficulties.
  9. 34Declaration as to the policy of the State.
  10. 35Power to make rules.

PDF: pending for this language.