The Vidarbha Irrigation Development Corporation Act, 1997

1. (1) This Act may be called the Vidarbha Irrigation Development Corporation Act, 1997.
2. (2) It shall extend to the area of the Godavari and Tapi Rivers Valley in Vidarbha region of the State of Maharashtra, specified in the Schedule and such other area or areas, as the State Government may, by notification in the Official Gazette, specify.
3. (3) It shall be deemed to have come into force on the 12th March 1997.

In this Act, unless the context otherwise requires,-

1. (a) "Area of operation of the Corporation" means the area of the Godavari and Tapi Rivers Valley specified in the Schedule and any other area or areas to which the provisions of this Act are extended by the State Government, by notification in the Official Gazette, under sub-section (2) of section 1 ;
2. (b) "Corporation" means the Vidarbha Irrigation Development Corporation established under section 3 ;
3. (c) "Hydro-Electric Power Project" means and includes the planning, construction, maintenance and management of Hydro-Electric Power Projects, within the area of operation of the Corporation and shall also include such hydroelectric power projects as are assigned, handed over or transferred to the Corporation by the State Government ;
4. (d) "Irrigation Department" means the Irrigation Department of the Government ;
5. (e) "Irrigation Project" means the planning, construction, maintenance and management of-
   • (i) Major Irrigation Project having irrigable command area of more than 10,000 hectares,
   • (ii) Medium Irrigation Project having irrigable command area of more than 2,000 hectares and upto 10,000 hectares,
   • (iii) Minor Irrigation Project, having irrigable command area of more than 250 hectares and upto 2,000 hectares, and shall include command area development, flood control and other allied activities ;
6. (f) "member" means a member of the Corporation designated as Director ;
7. (g) "prescribed" means prescribed by the rules made under this Act ;
8. (h) "Schedule" means the Schedule appended to this Act ;
   • (i) "State Government" or "Government" means the Government of Maharashtra.

1. (1) The State Government shall, by 1notification in the Official Gazette, establish for the purposes of this Act, a Corporation to be called the Vidarbha Irrigation Development Corporation.
2. (2) The Corporation established under sub-section (1) shall be a body corporate having perpetual succession and a common seal, with power to contract, acquire, hold and dispose of property, both movable and immovable, and to do all things, necessary for the purposes of this Act, and may sue and be sued by its corporate names.
3. (3) The Head Office of the Corporation shall be at Nagpur.

1. (1) The Corporation shall consist of the following members, namely :-
   • (a) the Minister of Irrigationex-officio Chairman1[(b) two non-official members from the Vidarbha region to be nominated by the State Government.Vice-Chairman;](c) the Chief Secretary to Government ex-officio Vice-Chairman;(d) Secretary (1) to Government, Irrigation Departmentex-officio Managing Director ;(e) Secretary (Command Area Development) to Government, Irrigation Departmentex-officio Member ;(f) Secretary to Government, Planning Departmentex-officio Member ;(g) Secretary to Government, Finance Departmentex-officio Member ;(h) Secretary (Forests) to Government, Revenue and Forests Departmentex-officio Member ; (i) Secretary (Relief and Rehabilitation) to Government, Revenue and Forests Departmentex-officio Member ;(j) Secretary to Government, Agriculture Departmentex-officio Member ;
   • (k) three non-official members representing reputed and recognised financial institutions, to be nominated by the State Government ;
2. (1) five members to be nominated by the State Government, from amongst the members of the Maharashtra State Legislative Assembly ;
   • (m) three members to be nominated by the State Government from amongst the members of the Maharashtra State Legislative Council ;
   • (n) two non-official qualified members to be nominated by the State Government having graduation and special knowledge and practical experience, one each from the field of Irrigation and Finance, respectively;
   • (o) one officer not below the rank of Secretary to Government, from the cadre of the Engineering services of the Irrigation Department to be appointed by the State Government as the Member-Secretary of the Corporation, who shall be designated as the Executive Director of the Corporation. The Executive Director shall be entitled to take part in all the deliberations and proceedings of the meetings of the Corporation but shall have no right to vote.
3. (2) The term of office of nominated members shall be for a period of one year unless terminated earlier by the State Government : Provided that, the members of the Maharashtra State Legislature shall cease to be the member of the Corporation if they cease to be members of the Maharashtra State Legislature.
4. (3) The non-official members of the Corporation nominated under 2[clauses (b) and (n)] of sub-section (1) shall receive such remuneration and allowance as may be laid down by regulations.
5. (4) The official members of the Corporation shall receive such compensatory allowances for the purpose of meeting the personal expenditure in attending the meetings of the Corporation, as may be laid down by the regulations.

1. (1) There shall be an Executive Committee consisting of the following members, namely :-
   • (a) Managing Director of the CorporationChairman(b) Executive Director of the CorporationMember(c) Chief Engineer, Irrigation Department, Nagpur.Member(d) Chief Engineer (Gosikhurd), Irrigation Department, Nagpur.Member(e) Chief Accounts and Finance Officer of the Corporation.Member(f) Superintending Engineer of the Corporation.Member-Secretary.
2. (2) The powers, functions and duties of the Executive Committee shall be such as may be laid down by regulations.

1. (1) A person shall be disqualified for being nominated as a non-official member or continue to be such member, if he,-
   • (a) is an employee of the Corporation except the Executive Director ;
   • (b) is of unsound mind, and stands so declared by a competent Court ;
   • (c) is an undischarged insolvent ;
   • (d) is convicted for an offence involving moral turpitude ;
   • (e) has directly or indirectly by himself or by any partner, employer or employee any share or interest, whether pecuniary or of any other nature, in any contract or employment with, by or on behalf of, the Corporation ; or
   • (f) is a Director, Secretary, Manager or other Officer of any company, which has any share or interest in any contract or employment with, by or on behalf of the Corporation : Provided that, a person shall not be disqualified under clause (e) or clause (f) by reason only of his or the company of which he is a Director, Secretary, Manager or other Officer, having a share or interest in,-
     • (i) any sale, purchase, lease or exchange of immovable property or any agreement for the same ;
     • (ii) any agreement for loan of money or any security for payment of money only ;
     • (iii) any newspaper in which any advertisement relating to the affairs of the Corporation is published.
2. (2) The Government may remove from the Corporation any non-official member nominated by the Government, who in its opinion,-
   • (a) has been disqualified under sub-section (1) ;
   • (b) refuses to act ;
   • (c) has so abused his position as a member as to render his continuance on the Corporation detrimental to the interest of the public, or
   • (d) is otherwise unsuitable to continue as member.
3. (3) No order of removal under sub-section (2) shall be made unless the non-official member has been given an opportunity to submit his explanation to the Government, and when such order is passed, the office of the member so removed shall be deemed to be vacant.
4. (4) A member who has been so removed under sub-section (3) shall not be eligible for re-appointment as member in any other capacity on the Corporation.

1. (1) The Corporation shall meet at such times and places as Chairman may decide and shall, subject to the provisions of sub-section (3), observe such rules of procedure in regard to the transaction of business at its meetings (including the quorum thereof) as may be laid down by regulations : Provided that, at least one meeting shall be held in every calendar month in such manner so as to ensure that not more than thirty days intervene between the two meetings. 1[(2) The Chairman or, in his absence, such of the Vice-Chairmen appointed under clause (b) of sub-section (1) of section 4, if both are the Members of the Maharashtra State Legislature, as may be predetermined by the Chairman by an order, shall preside over the meeting of the Corporation, and in the absence of all the three, the Chief Secretary to Government, being the other Vice-Chairman shall preside over the meeting : Provided that, if the Vice-Chairmen appointed under clause (b) are persons other than the Members of the State Legislature, the Chief Secretary as the Vice-Chairman shall in the absence of the Chairman, preside over the meeting and in the absence of the Chief Secretary, the other Vice-Chairman, as may be predetermined by the Chairman by an order, shall preside over such meeting.]
2. (3) A member who, is directly or indirectly concerned or interested in any contract loan, arrangement or proposal entered into or proposed to be entered into by or on behalf of the Corporation, shall, at the earliest possible opportunity disclose the nature of his interest to the Corporation, and shall, not be present at any meeting of the Corporation when any such contract, loan, arrangement or proposal is discussed, unless his presence is required by the other members for the purpose of eliciting information, but no member so required to be present shall vote on any such contract, loan, arrangement or proposal : Provided that, a member shall not be deemed to be concerned or interested as aforesaid by reason only of his being a share holder of a company concerned in any such contract, loan, arrangement or proposal.

The Corporation may, from time to time, constitute committee, or committees out of its members consisting of such number of them as it may think proper and may delegate to such committee such powers of the Corporation as it may deem fit for carrying out the purposes of this Act.

1. (1) The Corporation or any of its committees may invite any officer of the Central Government, State Government, local authority or any organisation or any person to attend its meetings as a special invitee for the purpose of assisting or advising it on any matter or matters. The officer so invited may take part in the proceedings, but shall have no right to vote.
2. (2) The officer so invited shall be entitled to draw such honorarium or compensatory allowance for the purpose of meeting the personal expenditure in attending the meetings of the Corporation or any of its committees as the Corporation may determine, from time to time.

Any vacancy of a member of the Corporation shall be filled as early as practicable, in like manner as if the appointment is being made for the first time.

No act done or proceedings taken under this Act by the Corporation or Committee appointed by the Corporation shall be invalidated merely on the grounds of,-

1. (a) any vacancy of a member or any defect in the constitution or reconstitution of the Corporation or a committee thereof ; or
2. (b) any defect or irregularity in the appointment of a person as a member or the Corporation or of a committee thereof; or
3. (c) any defect or irregularity in such act or proceedings, not affecting the substance.

1. (1) The State Government shall appoint Executive Director as provided in section 4(1) and Chief Accounts and Finance Officer not below the rank of Director from the Maharashtra Finance and Accounts Service, for the Corporation.
2. (2) The Corporation may, with the prior approval of the State Government appoint such other officers and servants subordinate to the officers mentioned in sub-section (1) as it considers necessary for the efficient performance of its duties.
3. (3) The conditions of appointment and service of the officers and servants and their scales of pay shall,-
   • (a) as regards the officers mentioned in sub-section (1), be such as may be prescribed, and
   • (b) as regards the officers and servants mentioned in sub-section (2), be such as may be laid down, from time to time, by regulations.
4. (4) Subject to the superintendence of the Corporation and the overall control on the activities of the Corporation by the Managing Director, the Executive Director shall supervise and control all its officers and employees including any officers of Government appointed on deputation to the Corporation.

No person who has, directly or indirectly, by himself or by his partner or agent, any share or interest in any contract, by or on behalf of the Corporation or in any employment under, by or on behalf of the Corporation otherwise then as an officer or staff thereof, shall be qualified to be an officer or staff of the Corporation.

All proceeding of the Corporation shall be authenticated by the Chairman or Vice-Chairman and all orders and instruments of the Corporation, subject to overall control and direction by the Managing Director, shall be authenticated by the Executive Director or any other officer of the Corporation as may be authorised in this behalf by regulations.

1. (1) From such date as may be specified, from time to time, by the State Government (hereinafter in this section referred to as "the appointed date"),-
   • (a) the assigned projects of the Corporation and their assets comprising movables and immovables including Irrigation Projects, Hydro-Electric Power Projects, works under construction, specified in that behalf, situated in the area of operation of the Corporation, which immediately before the appointed date vested in the State Government and were under the control of the Irrigation Department, shall vest in and stand transferred to the Corporation, and all income derived and expenses incurred in that behalf be brought on books of the Corporation ; 1[* *] 2[(a-1) the properties and assets, comprising movables and immovables, in all Irrigation Projects under survey and investigation or under construction, in the Vidarbha region, vested with the Government as on the date of coming into force of the Vidarbha Irrigation Development Corporation and Konkan Irrigation Development Corporation (Amendment) Act, 2007 (Mah. VIII of 2007), alongwith the establishment thereof, shall vest in the Corporation ; (a-2) all Irrigation Projects in the Vidarbha region for which the administrative approval has been granted by the Water Resources Department of Government, however, budget provision therefor has not been made before the date of coming into force of the Vidarbha Irrigation Development Corporation and the Konkan Irrigation Development Corporation (Amendment) Act, 2007 (Mah. VIII of 2007), shall vest in the Corporation; and]
   • (b) the rights, liabilities and obligations of the State Government, whether arising out of any contract or otherwise pertaining to the said projects of the State Government, shall be deemed to be rights, liabilities and obligations of the Corporations.
2. (2) Such properties, assets, rights, liabilities and obligations shall be valued in such manner as the State Government may determine.
3. (3) All suits and other legal proceedings with respect to any scheme for the development of Irrigation Projects and Hydro-Electric Power Projects entrusted to the Corporation instituted or defended by or against the State Government before the appointed date may be continued, or instituted, or defended by or against the Corporation.

Where any doubt or dispute arises as to whether any property or assets has vested in the Corporation under section 15 or any rights, liabilities or obligation have become the rights, liabilities or obligations of the Corporation under that section such doubt or dispute shall be referred to the State Government, whose decision shall be final.

1. (1) Where on account of conferment of any powers, duties and functions on the Corporation by or under this Act, in the opinion of the State Government, any employees in the field establishments, that is, officers and employees belonging to technical staff as well as ministerial and non-ministerial staff (permanent, regular, temporary, converted regular permanent, temporary and daily wages) in the Irrigation Department, on the date specified by the State Government engaged in the fields of planning, investigation, design, construction, management, land development of the state sector, irrigation projects, lift irrigation schemes and Hydro-Electric Power Projects, have been rendered surplus or are likely to be rendered surplus, wholly or partially to the requirements of the State Government, or where the services of such officers and servants are required by the Corporation for efficient exercise of its powers, performance of its duties or discharge of its functions, the State Government, the Head of the Department of the State Government or any officer authorised by the State Government in this behalf may, from time to time, having regard to the necessity therefor, by order depute such officer; or employees to the corporation, and the Corporation shall take them over and employ them on deputation, subject to the provision of this section.
2. (2) The period of deputation of any such employee to the Corporation shall be five years except when any such person is required to be repatriated on the grounds, such as promotion, reversion, termination or superannuation, or any other reason as may be directed by the State Government. After the expiry of the period of deputation, he shall stand repatriated to service under the State Government : Provided that, during the period of such deputation all matters relating to the pay, leave, allowances, retirement, pension, provident fund and other condition of service of the employees on deputation shall be regulated by the Maharashtra Civil Services Rules or such other rules as may, from time to time, be made by the State Government.
3. (3) All the regular, permanent and regular temporary permanent employees of the said establishment transferred on deputation to the Corporation under sub-section (2) shall have a lien on their posts in the service under the State Government and the period of their service under the State Government and the period of their service under the Corporation shall, on their repatriation to the service under the State Government, be counted for their increments, pensions and other matters relating to their service.
4. (4) The Corporation shall have the authority to transfer the officers and staff members within the area of operation of the Corporation.
5. (5) No employee on deputation to the Corporation shall be entitled to any deputation allowance.
6. (6) The salaries and allowances of employee on deputation to the Corporation shall be paid from the Corporation fund.
7. (7) Save as otherwise provided in this section, the terms and conditions of services of employees on deputation to the Corporation, shall not be less advantageous than those applicable to them immediately before deputation and shall not be varied to their disadvantage except with the previous sanction of the State Government.

The functions of the Corporation shall be,-

1. (a) to promote and operate,-
   • (i) some irrigation projects mentioned in the Schedule and command area development including flood control; and
   • (ii) some schemes for the generation of hydro-electrical energy ;
2. (b) to plan, investigate, design, construct and manage those irrigation projects and their command area development 1[and to help drip irrigation schemes through the Agriculture Department of Government] ;
3. (c) to plan, investigate, design, construct and manage the schemes of the generation of hydro-electrical energy ;
4. (d) to enter contracts in respect of the work and any other matters transferred to the Corporation along with assets and liabilities under this Act ;
5. (e) to invite tenders, bids, offers and enter into contracts for the purposes of all the activities of the Corporation ;
6. (f) to promote participation of any person or body or association of individual whether incorporated or not, in planning, investigation, designing, construction and management of irrigation projects, and command area development and Hydro-Electric Power Projects including flood control ;
7. (g) to undertake schemes or works, either jointly with other corporate bodies, or institutions, or with Government or local authorities, or on agency basis in furtherance of the purposes for which the Corporation is established and all matters connected therewith ;
8. (h) to promote irrigation related activities such as fisheries, pisciculture, floriculture, horticulture, sericulture, tissueculture, etc.;
   • (i) to promote tourism, water sports and other related activities on and around the Irrigation and Hydro-Electric Power Projects;
9. (j) to develop the land around or nearby lake and in other suitable locations with irrigation facilities and other infrastructure facilities and lease part or whole of such developed properties to the interested parties;
10. (k) to prepare annual plan and five year working development plan;
11. (l) to prepare annual budget;
12. (m) to undertake any other project and other activities entrusted by the State Government in furtherance of the objectives for which the Corporation is established.

1. (1) The Corporation shall have the power to accord technical sanction, acceptance of all tenders, sanctioning budget and making financial provisions, settling dispute arising out of contracts and any other thing which may be necessary or expedient for the purposes of carrying out its functions under this Act.
2. (2) Without prejudice to the generality of the foregoing provision, such power shall include power,-
   • (a) to acquire and hold property, both movable and immovable as the Corporation may deem necessary for the performance of any of its functions, duties, activities and to lease, sell, exchange or otherwise transfer any property held by it on such conditions as may be deemed proper by the Corporation ;
   • (b) to construct or cause to be constructed such dams, barrages, reservoirs, power houses, power structures, electrical transmission lines and sub-stations navigation works, irrigation, flood control and drainage canals and such other works and structures as may be required ;
   • (c) to take measures to prevent pollution of any water under its control and to take all measures deemed necessary to prevent discharges into such water of effluents which are harmful to water supply, irrigation, public health or fish life ;
   • (d) to stock its reservoirs or water courses with fish and to sell fish or fishing rights and prohibit taking out fish from the water under its control ;
   • (e) to assist in the establishment of water users, association and other organisations formed under the Maharashtra Cooperative Societies Act, 1961 (Mah. XXIV of 1961) for the better use of facilities made available by the Corporation ;
   • (f) to lease rights for water sports, other recreational activities related to the use of reservoir and its surroundings and reservoir water ;
   • (g) to establish, maintain and operate laboratories, experimental and research stations and farms for conducting experiments and research for-
     • (i) utilising the water, electrical energy and other resources in the most economical manner for the development of the Godavari and Tapi River Valley in Vidarbha region ;
     • (ii) determining the effect of its operations on the flow conditions in the Godavari and Tapi River and its tributaries in Vidarbha region ;
     • (iii) providing navigation condition in its Godavari and Tapi River and its tributaries in Vidarbha region ;
   • (h) to engage suitable qualified consultant or person having special knowledge or skill to assist the Corporation in the performance of its functions ;
     • (i) to do all such other things including making interest bearing monetary advances to the contractors executing works on the projects of the Corporation and perform such acts as may be necessary for or incidental or conducive to any matters which are necessary for furtherance of the objectives for which the Corporation is established.

The Corporation shall, from time to time, determine and levy water charges according to volume, for supply of water for irrigation, industrial and domestic purposes to the State Government, local authorities, Government agencies, cultivators and water users’ associations : Provided that, the levy of water charges shall be such that water charges so recovered shall be sufficient at least to cover the interest charges and repayment of the loan raised by the Corporation from the open market.

The Corporation shall pay the interest charges on the borrowed money through the recovery of water charges.

No person shall construct, operate or maintain within the area of operation of the Corporation any dam, bandhara or weir or other work or any installation for the extraction of surface water without the prior approval of the Corporation : Provided that, the State Government or local authority may, construct and operate such dams, bandhara, etc., anywhere or across any river or basin within such area of operation or assign or hand over such dam, bandhara, weir, etc., to the Corporation.

The Corporation shall keep co-ordination with the State Government, Railway Authorities, local authorities and statutory bodies with a view to minimising the inconvenience likely to be caused by the submergence of railways, lands and roads and communications and shall bear the cost of any re-alignment thereof or resettlement of any population rendered necessary by such sub-mergence.

Notwithstanding anything contained in the Maharashtra Irrigation Act, 1976 (Mah. XXXVIII of 1976) and the Bombay Canal Rules, 1934,-

1. (a) the Corporation may carry out all or any of the functions and exercise all or any of the powers of the State Government or the appropriate authority ; and
2. (b) any officer of the Corporation authorise in this behalf by the Corporation may carry out all or any of the functions and exercise all or any of the powers of the Canal Officer, under the provisions of the said Act and the rules, within the area of operation of the Corporation.

The State Government may issue to the Corporation such general or special directions to policy or exercise of the powers or performance of the functions by the Corporation, excepting in respect of levying and recovery of water charges by the Corporation, as it may think necessary or expedient for carrying out the purposes of this Act and the Corporation shall be bound to follow and act upon such directions.

The State Government may, for carrying out the purposes of this Act, compulsorily acquire land under 1the Land Acquisition Act, 1894 (I of 1894), and the acquisition of any land for any of the said purposes shall be deemed to be a public purpose within the meaning of that Act.

1. (1) For the furtherance of the objects of this Act, the State Government may, by notification in the Official Gazette, upon such conditions as may be agreed upon between the Government and the Corporation, place at the disposal of the Corporation any lands vested in the State Government : Provided that, the State Government shall not place at the disposal of the Corporation any lands which are notified and included in a reserved forest.
2. (2) After any such land has been so placed at the disposal of the Corporation it shall be dealt with by the Corporation in accordance with the provisions of this Act, or the rules or regulations made thereunder and the directions, if any, given by the State Government in this behalf.
3. (3) If any land placed at the disposal of the Corporation under sub-section (1) is not required by the Corporation, the State Government, may ask the Corporation to replace it to the State Government upon such terms and conditions as may be mutually agreed upon.

Subject to any rules made by the State Government under this Act, the Corporation may retain, lease, sell, exchange or otherwise dispose of any land, any building or other property vested in it, in such manner as it thinks fit for carrying out the purposes of this Act.

All property, fund and other assets vesting in the Corporation shall be held and applied by it, for the purposes of this Act.

1. (1) The Corporation shall have and maintain its own fund, to which shall be credited,-
   • (a) all moneys received by the Corporation from the State Government by way of grants, subventions, loans, advances and the loans raised under this Act ;
   • (b) all fees, costs and charges received by the Corporation under this Act ;
   • (c) all moneys received by the Corporation from the disposal of lands, buildings and other properties, movable and immovable and other transactions ;
   • (d) all moneys received by the Corporation by way of water charges, rents and profits or from any other source.
2. (2) The Corporation may keep current and deposit account with the State Bank of India or any other Bank approved by the State Government in this behalf.
3. (3) Such accounts shall be operated by such officers of the Corporation as may be authorised by it in this behalf.
4. (4) Notwithstanding anything contained in sub-sections (2) and (3), the Corporation may keep on hand such sum as it thinks fit for its day to day transactions subject to such limits and conditions as may be prescribed.

1. (1) The State Government shall, by appropriation duly made in this behalf from time to time, provide an aggregate sum of not less than rupees 1[3335 crores] to the Corporation Fund, as its share of the capital required by the Corporation, of the performance of the functions of the Corporation under this Act and such contribution shall be paid in suitable instalments spread over a period of 2[Ten years] from the date of establishment of the Corporation : Provided that, the State Government shall, by appropriation duly made in this behalf, initially contribute and pay a sum of rupees 150 crores to the Corporation Fund : Provided further that, the contribution made by the Government shall be exclusive of the expenditure incurred by the Government for and in connection with the establishment of the Corporation.
2. (2) The capital provided by the State Government shall not carry any interest.

The State Government may, after due appropriation made by the State Legislature by law in this behalf, make such grants, subventions, loans and advances, to the Corporation as it may deem necessary for the performance of the functions of the Corporation under this Act ; and all grants, subventions, loans and advances made shall be on such terms and conditions as the State Government may determine.

1. (1) The Corporation may, subject to such conditions as may be prescribed in this behalf, borrow money from the financial institutions or non-resident Indians or from the open market by issue of guaranteed or un-guaranteed bonds, debentures, stocks, cash certificates, fixed deposit receipts and otherwise, for the purpose of providing itself with adequate resources.
2. (2) The maximum amount which the Corporation may at any time have on loan under sub-section (1) shall not exceed rupees one thousand crores, unless the State Government fixes a higher maximum limit for this purpose.

The Corporation may accept deposits on such conditions as it deems fit from persons, authorities or institutions, to whom allotment or sale of land or buildings or fishing rights is made or is likely to be made in furtherance of the objects of this Act.

The Corporation shall have the authority to spend such sums as it thinks fit for the purposes authorised under this Act from and out of the fund of the Corporation referred to in section 30 or from the reserve and other funds referred to in section 38, as the case may be.

It shall be competent for the Corporation to spend such sums as it thinks fit also on objects authorised under this Act other than Irrigation Projects and Hydro-Electric Power Projects and such sums shall be treated as common expenditure payable out of the fund of the Corporation before allocation under section 37 of this Act.

The total capital expenditure chargeable to project shall be allocated between the two main objects, Irrigation Projects and Hydro-Electric Power Project as follows, namely :-

1. (1) Expenditure solely attributable to any one of the said two objects, including a proportionate share of overhead and general charges, shall be charged to that object ; and
2. (2) Expenditure common to both the said objects, including a proportionate share of overhead and general charges, shall be allocated to the said objects in proportion to the expenditure which, according to the estimates of the Corporation, would have been incurred in constructing a separate structure for that object less any amount determined under clause (1) in respect of that object.

1. (1) The Corporation shall make provisions for such reserve and other, specially denominated funds as the State Government may, from time to time, direct.
2. (2) The management of the funds referred to in sub-section (1), the sums to be transferred, from time to time, to the credit thereof and the application of money comprise therein, shall subject to the directions, if any, issued by the State Government in this behalf, be determinate by the Corporation.
3. (3) None of the funds referred to in sub-section (1) shall, except with the previous approval of the State Government, be utilised for any purposes other than that for which it is constituted.

1. (1) The Executive Director of the Corporation, with the prior approval of the Managing Director, shall, at a special meeting to be held in the month of October in each year, lay before the Corporation the budget estimates of the Corporation for the next year. (2 Every such budget estimates shall be prepared in such form as the State Government may, from time to time, by order, determine and shall provide for,-
   • (i) the proposals, plans and projects which the Corporation proposes to execute either in part or in whole during the next year ;
   • (ii) the due fulfillment of all the liabilities of the Corporations ; and
   • (iii) the implementation of the provisions of this Act ; and such estimates shall contain a Statement showing the estimated income and expenditure on capital and revenue accounts for the next year and such other particulars, indicating the financial performance of the Corporation, as the State Government may direct. The budget shall clearly reveal the financial outlay and performance.

The Corporation shall consider the budget estimates submitted to it under section 39 and approve the same with or without modifications on or before such date as the State Government may, from time to time, determine.

The State Government may guarantee the repayment of any loans and payment of interest on all or any of the loans given or transferred to the Corporation.

1. (1) Subject to the provisions of sub-section (2) of section 44 of this Act, the net profit, if any, attributable to each of the main objects, namely, irrigation and power shall be fully credited to the Corporation.
2. (2) The net deficit, if any, in respect of any of the objects shall be solely borne by the State Government.

The interest charges and all other expenditure shall be added to the capital cost and all receipts shall be taken in reduction of such capital cost, if the Corporation is in deficit.

1. (1) The Corporation may make provision for depreciation fund at such rates and on such terms as may be specified by the Comptroller and Auditor General of India, and in consultation with the State Government.
2. (2) The net profit for the purpose of section 42 shall be determined after such provision has been made.

In the event of any betterment levy being imposed by the State Government, the apportionment of proceeds thereof in so far as they are attributable to the operations of the Corporation, shall be credited to the Corporation.

1. (1) The Corporation shall, by such date in each financial year, as may be prescribed, prepare and submit to the State Government for approval an annual financial statement and the programme of work for succeeding financial year and the State Government may, approve such financial statement and the programme of work of the Corporation as submitted by the Corporation or with such variations as the State Government thinks fit. ( 2) The annual financial statement shall show the estimated receipts and expenditure during the succeeding financial year in such form and detail as may be prescribed. ( 3) The Corporation shall be competent to make variations in the approved programme of work in the course of the financial year provided that all such variations and reappropriations out of the sanctioned budget are brought to the notice of the State Government by a supplementary financial statement. ( 4) A copy each, of the annual financial statement and the programme of work and the supplementary financial statement, if any, shall be placed before each House of the State Legislature as soon as may be after their receipt by the State Government.

1. (1) The Corporation shall maintain books of account and other books in relation to the business and transaction in such form, and in such manner, as may be prescribed.
2. (2) The accounts of the Corporation shall be audited by an Auditor appointed by the State Government, in consultation with the Comptroller and Auditor General of India.
3. (3) Within nine months from the end of the financial year the Corporation shall send a copy of the accounts audited together with a copy of the report of the Auditor thereon to the State Government.
4. (4) The State Government shall cause the accounts of the Corporation together with the audit report thereon forwarded to it under sub-section (3) to be laid before each House of the State Legislature, as far as possible before the expiry of the year next succeeding the year to which the accounts and the report relate.

1. (1) Notwithstanding anything contained in the last preceding section the State Government may order that there shall be concurrent audit of the accounts of the Corporation by such person as it thinks fit. The State Government may also direct a special audit to be made by such person as it thinks fit of the accounts of the Corporation relating to any particular transaction or class or series of transactions or to a particular period.
2. (2) When an order is made under sub-section (1), the Corporation shall present or cause to be presented for audit all such accounts and shall furnish to the person appointed under sub-section (1) such information as the said persons may require for the purpose of audit.

1. (1) The Corporation shall prepare and submit to the State Government, in such form as may be prescribed, an annual report within six months after the end of every financial year of its activities during the previous financial year with particular reference to,-
   • (a) irrigation, command area development and flood control,
   • (b) water supply,
   • (c) hydroelectrical energy,
   • (d) recreation facilities,
   • (e) use of lands,
   • (f) resettlement of displaced persons, and
   • (g) other activities of the Corporation.
2. (2) The Corporation shall also furnish to the State Government such returns, statistics, reports, accounts and other information with respect to its conduct of affairs, properties or activities or in regard to any proposed work or scheme as the State Government may, from time to time, require.

The rehabilitation and resettlement of the persons affected due to the irrigation and the Hydro-Electric Power Projects shall be carried out by the State Government in accordance with the provisions of 1the Maharashtra Project Affected Persons Rehabilitation Act, 1986 (Mah. XXXII of 1989) : Provided that, all the expenditure required to be incurred by the State Government for the rehabilitation and the resettlement of persons affected by the irrigation and Hydro-Electric Power Project shall be borne by the Corporation.

Every contract or assurance of property on behalf of the Corporation shall be in writing and executed by such authority or officer in such manner as may be provided by regulations.

Whoever contravenes the provisions of this Act or any rules or regulations made thereunder or fails to comply with any notice, order or requisition issued under this Act shall, on conviction, be punished with imprisonment for a term which may extend to six months or with fine which may extend to one thousand rupees or with both.

Any officer or servant of the Corporation generally or specially authorised by the Corporation may at all reasonable time enter upon any land or premises and do such things as may be necessary for the purpose of lawfully carrying out any of its work or of making any survey, examination or investigation preliminary of incidental to the exercise of powers or the performance of functions by the Corporation under this Act.

All sums due or payable by any persons to the Corporation or recoverable by it on account of any charge, costs, expenses, fees, rent, compensation, or on any other account under this Act or any rules or regulation made thereunder or any agreement made with the Corporation and all charges or expenses incurred in connection therewith shall, without prejudice to any other mode of recovery, be recoverable as an arrears of land revenue.

1. (1) All notices, orders and other documents required by this Act or any rules or regulations made thereunder to be served upon any person shall, save as otherwise provided in this Act or such rules or regulations, be deemed to be duly served,-
   • (a) where a person to be served is a company, the service is effected in accordance with the provisions of section 51 of 1the Companies Act, 1956 (I of 1956) ;
   • (b) where the person to be served is a firm, if the document is addressed to the firm at its principal place of business, identifying it by the name and style under which its business is carried on and is either,-
     • (i) sent under a certificate of posting or by registered post ; or
     • (ii) left at that said place of business ;
   • (c) where the person to be served is a statutory public body or Corporation or a Society or other body, if the document is a addressed to the Secretary, Treasurer or other head officer of that body, Corporation or Society at its principal office, and is either,-
     • (i) sent under a certificate of posting or by registered post ; or
     • (ii) left at that office ;
   • (d) in any other case, if the document is addressed to the person to be served and,-
     • (i) is given or tendered to him ; or
     • (ii) if such person cannot be found, is affixed on some conspicuous part of his last known place of residence or business or is given or tendered to some adult member of his family or is affixed on some conspicuous part of the land or building to which it relates ; or
     • (iii) is sent under a certificate of posting or by registered post to that person.
2. (2) Any document which is required or authorised to be served on the owner or occupier of any land or building may be addressed to the owner or the occupier, as the case may be, of that land or building (naming that land or building), name or description, and shall be deemed to be duly served,-
   • (a) if the document so addressed is sent or delivered in accordance with clause (d) of sub-section (1) ; or
   • (b) if the document so addressed or a copy thereof so addressed is given or tendered to some person on the land or building of, where there is no person on the land or building to whom it can be delivered, is affixed to some conspicuous part of the land or building.
3. (3) Where a document is served on the firm in accordance with this section, the document shall be deemed to be served on each partner.
4. (4) For the purpose of enabling any document to be served on the owner of any property, the occupier (if any) of the property may be required by notice in writing by the State Government or the Corporation, as the case may be, to state the name and address of the owner thereof.

Every public notice, given under this Act or any rule or regulation made thereunder shall be in writing and under the signature of the officer concerned and shall be widely made known in the locality or in the farms or estates to be affected thereby by affixing copies thereof in conspicuous public places, within the said locality or the said farms or estates, or by publishing the same by beat of drum or by any other means that the officer may think fit.

Where any notice, order or other document issued or made under this Act or any rule or regulation made thereunder required anything to be done for the doing of which no time is fixed in this Act or the rule or regulation, the notice, order or other document shall specify a reasonable period of time for doing the same or complying therewith.

1. (1) If the State Government is of the opinion that the Corporation has made a default in the performance of any duty or obligation imposed or cast on it by or under this Act, the State Government may fix a period for the performance of that duty or obligation and give notice to the Corporation accordingly.
2. (2) If, the Corporation fails or neglects to perform such duty or obligation within the period so fixed for its performance, it shall be lawful for the State Government, to supersede and reconstitute the Corporation as it deems fit.
3. (3) After the supersession of the Corporation and until it is reconstituted in the manner laid down in Chapter II, the powers, duties and functions of the Corporation under this Act shall be carried on by the State Government or by such officer or officers or body of officers as the State Government may appoint for this purpose, from time to time.
4. (4) All property vested in the Corporation shall, during the period of such supersession, vest in the State Government.

1. (1) Where an offence under this Act has been committed by a company, every person who, at the time the offence was committed, was in charge of, and was responsible to the company for the conduct of the business of the company, as well as the company, shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly : Provided that, nothing contained in this sub-section shall render any such person liable to any punishment if he proves that the offence was committed without his knowledge or that he had exercise all due diligence to prevent the commission of such offence.
2. (2) Notwithstanding anything contained in sub-section (1), where an offence under this Act has been committed by a company, and it is proved that the offence has been committed with the consent or connivance of, or is attributable to any neglect on the part of, any director, manager, secretary or other officer of the company, such director, manager, secretary or other officer shall also be deemed to be guilty of that offence and shall liable to be proceeded against and punished accordingly. Explanation.- For the purpose of this section,-
   • (a) "company" means a body corporate and includes a firm, association of persons or body of individuals whether incorporated or not, and
   • (b) "director", in relation to a firm, means a partner in the firms, and in relation to any association of persons or body of individuals, means any member controlling the affairs thereof.

Unless otherwise expressly provided, no Court shall take cognizance of any offence relating to property belonging to or, vested by or under this Act in the Corporation, punishable under this Act except on the complaint of, or upon information received from the Corporation or some person authorised by the Corporation by general or special order in this behalf.

1. (1) The Corporation or any person authorised by the Corporation by general or special order in this behalf may, either before or after the institution of the proceedings, compound any offence made punishable by or under this Act.
2. (2) Where an offence has been compounded the offender, if in custody, shall be discharged and no further proceedings shall be taken against him in respect of the offence compounded.

Any person who obstructs the entry of a person authorised under section 53 to enter into or upon any land or building or molests such person after such entry or who obstructs the lawful exercise by him of any power conferred by or under this Act, shall, on conviction, be punished with imprisonment for a term which may extend to six months, or with fine which may extend to one thousand rupees, or with both.

The Corporation may, through the Managing Director of the Corporation, with the previous approval of the State Government, delegate of any of its powers under this Act to any officer of the State Government or to any of its officers and to permit them to redelegate specific powers to their subordinates, by general or special order in this behalf.

No suit, prosecution or other legal proceedings shall lie against any person for anything which is in good faith done or intended to be done under this Act or rules or regulations made thereunder.

65. Chairman, 1[the three Vice-Chairmen], Executive Director, Members and Officers, etc., to be public servants. The Chairman, 2[the three Vice-Chairmen], Members, Managing Director, Executive Director and Officers and servants on deputation of the Corporation, as the case may be, shall, while acting or purporting to act in pursuance of any of the provisions of this Act or rules or regulation made thereunder, be deemed to be public servants within the meaning of section 21 of the Indian Penal Code (XLV of 1860).

The provisions of this Act shall have effect notwithstanding anything inconsistent therewith contained in any other law.

1. (1) The State Government may, by notification in the Official Gazette, make rules, to carry out the purposes of this Act.
2. (2) All rules made under this Act shall be subject to the condition of previous publication.
3. (3) Every rule made under this Act shall be laid, as soon as may be, after it is made, before each House of the Legislature, while it is in session for a total period of thirty days, which may be comprised in one session or in two successive sessions, and if, before expiry of the session in which it is so laid or the session immediately following, both the Houses agree in making any modification in the rule or both the Houses agree that the rule should not be made, and notify their decision to that effect in the Official Gazette, the rule shall, from the date of publication of such decision in the Official Gazette, have effect only in such modified form or be of no effect, as the case may be, so however that, any such modification or annulment shall be without prejudice to the validity of anything previously done or omitted to be done under that rule.

1. (1) The Corporation may, with the previous approval of the State Government, make regulations consistent with this Act and the rules made thereunder for all or any of the matters to be provided under this Act by regulations and generally for all other matters for which provision is, in the opinion of the Corporation, necessary for the exercise of its powers and the discharge of its functions under this Act.
2. (2) Pending making of the regulations by the Corporation with the approval of the State Government, the rules and procedures followed by the Irrigation Department shall, mutatis mutandis, be followed by the Corporation for carrying out its functions.

If any doubt or difficulty arises in giving effect to the provisions of this Act, the State Government may, by order, make provision or give such direction, not inconsistent with the provisions of this Act, as may appear to it to be necessary or expedient for the removal of the doubt or difficulty : Provided that, no such order shall be made after the expiry of a period of two years from the date of commencement of this Act.

1. (1) Where the State Government is satisfied that the purposes for which the Corporation was established under this Act have been substantially achieved so as to render the continued existence of the Corporation, in the opinion of the State Government, unnecessary, the Government may, by notification in the Official Gazette, declare that the Corporation shall stand dissolved with effect from such date as may be specified in the notification, and the Corporation shall be deemed to be dissolved accordingly and upon such dissolution the members (including the Chairman and the Vice-Chairman) shall vacate their respective offices.
2. (2) From the said date-
   • (a) all properties, funds and dues which are vested in, or realisable by, the Corporation shall vest in, or be realisable by, the State Government ;
   • (b) all liabilities which are enforceable against the Corporation shall be enforceable against the State Government.

1. (1) The Vidarbha Irrigation Development Corporation Ordinance, 1997 (Mah. Ord. XI of 1997) is hereby repealed.
2. (2) Notwithstanding such repeal, anything done or any action taken (including any notification issued or nomination, appointment or rules made) under the said Ordinance shall be deemed to have been done, taken, issued or made, as the case may be, under the corresponding provisions of this Act.