The 1[Maharashtra Forward Contracts Control Act]
The 1[Maharashtra Forward Contracts Control Act]
The Maharashtra Forward Contracts Control Act regulates the trading of forward contracts, which are agreements to buy or sell goods and securities at a future date, as well as options within specified areas. It applies to individuals, businesses, and trading associations participating in these markets. To prevent unregulated speculation and market manipulation, the Act requires all forward trading to occur through government recognized associations. Engaging in unauthorized trading, operating illegal venues, or acting as an unlicensed broker carries criminal penalties, including fines and imprisonment. Ultimately, this law protects the economy and investors by ensuring structured, transparent, and legally binding trade practices.
- 1. Short title and operation.
- 2. Definitions.
- 3. Recognition.
- 4. Power of Provincial Government to supersede the governing body, and suspend business.
- 5. Power of Provincial Government to make rules and add to, etc., articles of association.
- 6. Power of recognised association to make, add to, vary or rescind bye-laws.
- 7. Power of Provincial Government to make bye-laws.
- 8. Illegal contracts and penalty.
- 9. Options in goods illegal.
- 10. Penalty for owing or keeping place used for entering into forward contracts in contravention of Act, etc.
- 11. Jurisdiction under Act.
- 12. Offences by corporations and firms.
- 13. Bar of suits and proceedings against officers, etc.
- 14. Repeal of enactments.
- 15. Savings.
PDF: pending for this language.