Vidhi Codex

Bare Act

The Central India Spinning, Weaving and Manufacturing Company Limited, the Empress Mills, Nagpur (Acquisition and Transfer of Undertaking) Act, 1986

Corporate198637 sections4 chapters

This law provides for the acquisition and transfer of Empress Mills in Nagpur from its private company to the Government of Maharashtra and subsequently to the Maharashtra State Textile Corporation. It regulates the state takeover of all mill assets free from encumbrances, management restructuring, and the settlement of past financial liabilities. The Act applies to the former proprietors, creditors, financial institutions, and mill employees. It matters because it preserves the industrial undertaking under public control, provides fixed monetary compensation to former owners, and establishes a Commissioner of Payments to disburse funds under a statutory priority list that safeguards worker dues, taxes, and secured loans.

Start reading →Read full ActSections

Chapter I PRELIMINARY →

  1. 1Short title and commencement.
  2. 2Definitions. CHAPTER II
  3. 3Acquisition and transfer of undertaking and its vesting in State Government and its transfer and vesting in Corporation.
  4. 4General effect of vesting.
  5. 5Proprietors to be liable for prior liabilities.
  6. 6Power of State Government to direct vesting of undertaking in new Government Company.

Chapter III PAYMENT OF AMOUNTS →

  1. 7Payment of amount.
  2. 8Payment of further amount. CHAPTER IV
  3. 9Management, etc., of the Undertaking.
  4. 10Duty of persons in charge of management of undertaking to deliver all assets, etc.
  5. 11Duty of person to account for assets, etc., in their possession.

Chapter V PROVISIONS RELATING TO EMPLOYEES OF THE PROPRIETORS →

  1. 12Employment of certain employees.
  2. 13Provident fund and other funds.

Chapter VI COMMISSIONER OF PAYMENTS →

  1. 14Appointment of Commissioner of Payments.
  2. 15Payment by State Government to Commissioner.
  3. 16Certain powers of State Government or Corporation or new Government Company.
  4. 17Claims to be made to Commissioner.
  5. 18Priority of claims.
  6. 19Examination of claims.
  7. 20Admission or rejection of claims.
  8. 21Disbursement of money by Commissioner to claimants.
  9. 22Disbursement of amounts to proprietors.
  10. 23Possession of machinery etc., not belonging to proprietors to continue.
  11. 24Undisbursed or unclaimed amount to be deposited with general revenue account. CHAPTER VII
  12. 25Assumption of liabilities.
  13. 26Act to have overriding effect.
  14. 27Contracts to cease to have effect unless ratified by State Governemnt or Corporation or new Government company.
  15. 28Protection of action taken in goodfaith.
  16. 29Delegation of powers.
  17. 30Penalties.
  18. 31Offences by companies.
  19. 32Company not to be woundup by Court.
  20. 33Power to make rules.
  21. 34Power to remove difficulties.
  22. 35Repeal of Mah. Ord. V of 1986 and saving. SCHEDULE.

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