Chapter II VESTING OF EDUCATIONAL INSTITUTIONS

(1) On the appointed day, the right, title and interest of the educational institutions shall, by virtue of this Act, stand transferred to and vested in the State Government. (2) Any person or authority responsible for the management and the control of the affairs of such educational institutions immediately before the appointed day shall cease to exercise such management and control over the educational institutions and shall be deemed to have vacated their office and the Government shall on and from the appointed day, manage control and administer the educational institutions in the same manner like other Government educational institutions of the same nature.

(1) The educational institutions referred to in Section 3 shall be deemed to include all assets, rights, powers authorities and privileges and all properties, movable and immovable cash balance, reserve funds, books debts, investments and all other rights and interests in, or arising out of, such property as were immediately before the appointed day, in the ownership possession power or control of the educational institutions, and all books of accounts, registers records and all other documents of whatever nature relating thereto and shall be deemed to include all borrowings, liabilities (including the liability for the payment of any pension and other pensioner benefits to the persons employed to such educational institutions) and obligations of whatever kind than subsisting of the educational institutions. (2) Unless otherwise expressly provided by this Act, all deeds bonds, agreements power of attorney grant of legal representation and other instruments of whatever nature subsisting or having effect immediately before the appointed day, and to which any educational institution is a party or which any educational institution shall be of fuel force and effect against or in favour of the State Government had been a party thereto or as if they had been issued in favour of the State Government. (3) If on the appointed day, any suit appeal or other proceeding of whatever nature in relation to any of the educational institution which have been transferred to, and vested in the State Government under Section 3 is pending by or against any educational institution, the same shall not abate or be discontinued or be in any way prejudiced or be affected by reason of the transfer of the educational institution or of anything contained in this Act, but the suit, appeal or other proceedings may be continued, prosecuted and enforced by or against the State Government.

(1) Every right or interest in respect of any property (including a right under any lease or under any right of tenancy or any right under any arrangement to secure any premises for any purpose) which any educational institution held immediately before the appointed day, shall notwithstanding anything contained in any other law or in any agreement or instruments relating to such right or interest vest in and be held by the State Government on and after the appointed day on the same terms and conditions on which the education would have held as if this Act had not been passed. (2) On the expiry of the terms of any lease, tenancy or agreement referred to in sub-section (1), such lease or tenancy or agreement shall if so desired by the State Government, be renewed or continued so far as may be on the same terms and conditions on which the lease or tenancy or agreement was originally granted or entered into.

(1) For the removal of doubts it is hereby declared that the provisions of Sections 3, 4 and 5 shall apply to the extent to which any property appertains to the educational institutions and the right and powers acquired and to deeds liabilities and obligations incurred and to contracts, agreements and other instruments made by the educational institution and to the legal proceedings, relating to those matters pending in any Court or Tribunal. (2) If any question arises as to whether any property appertains, immediately before the appointed day to any educational institution, or whether any rights powers, deeds liabilities or obligations were acquired or incurred or any contract, agreement or other instrument was made by any educational institution for the purposes of management and administration or whether any document relates to those purposes or whether the provisions of Section 7 apply in relation to any property, the question shall be referred to the State Government which shall after giving a reasonable opportunity of being heard to the person interested in the matter, decide it in such manner as it may think fit.

No school, college, or other educational institution established and administered by the minorities whether based on religion or language shall be acquired by the State Government under this Act and nothing in this Act shall apply to such school, college or other educational institution.