(2) On and from the appointed day and for a period of two years thereafter, the management of the undertaking of the company shall vest in the Central Government.
(2) The undertaking of the company shall be deemed to include all assets, rights, leaseholds (including mining leases, if any), powers, authorities and privileges and all property, movable and immovable, including lands, buildings, works, mines, workshops, projects, smelters, refineries, ropeways, stores, instruments, machinery, aircraft, locomotives, automobiles and other vehicles, cash balances, reserve fund, investments and book debts and all other rights, and interests arising out of such property as were immediately before the appointed day in the ownership, possession, power or control of the company in relation to the undertaking, whether within or without India, and all books of account, registers, maps, plans, sections, drawings., records of survey and all other documents of whatever nature relating thereto.
(3) Any contract, whether express or implied, or other arrangement, in so far as it relates to the management of the business and affairs of the company in relation to its undertaking and in force immediately before the appointed day, shall be deemed to have terminated on the appointed day.
(4) All persons in charge of the management, including persons holding offices as directors, managers or any other managerial personnel pi the company immediately before the appointed day, shall be deemed to have vacated their offices as such on the appointed day.
4, (1) The Central Government shall, as from the appointed day, appoint a person as the Custodian of the undertaking of the company for the purpose of taking over the management thereof and the Custodian shall carry on the management of the undertaking of the company for and on behalf of the Central Government.
Definition Management of undertaking of the company to vest in Central Government.
Custodian of the pompany.
1 of 115$ 1 of 195i $t£. H THE GAZETTE OF INDIA EXTRAORDINARY 325
(2) The Central Government may issue such directions (including directions as to initiating, defending or continuing any legal proceedings before any court, tribunal or other authority) to the Custodian as- to his powers and duties as tho Central Government deems desirable and the Custodian may apply to the Central Government at any time for instructions as to the manner in which the Custodian shall conduct the management of the undertaking of the company or in relation to any matter arising in the course of such management.
(3) Subject to the other provisions of this Ordinance and to the control of the Central Government, the Custodian shall be entitled, notwithstanding anything contained in the Companies Act, 1956, to exercise all the powers of the Board of Directors of the company (including the powers to dispose of any properties or assets of the company) whether such powers are derived from the Companies Act, 1956, or from the memorandum and articles of association of Ihe company or .from an other source.
(4) Every person having possession, custody or control of any property forming part of the undertaking of the company shall deliver forthwith such property to the Custodian or to any officer or other employee of the Central Government or the company as may be authorised by the Central Government in this behalf.
(5) Any person who, on the appointed day, has in his possession or under his control any books, papers or other documents relating to the undertaking of the company, including the minutes books containing the resolutions of the persons in charge of the management before the appointed day, the current cheque books relating" to the undertaking of the company, any letters, memoranda, notes or other communications between him and the company -shall, notwithstanding anything contains in any law for the time being in force, be liable to account for the books, papers and other documents (including such minutes books, cheque books, letters, memoranda, notes or other communications) to the Custodian and shall deliver them up to the Custodian or to any such person (being an officer or other employee of the Central Government or the company) as may be authorised by the Central Government in th behalf.
(6) Every person in charge of the management of the undertaking of the company immediately before the appointed day shall, within ten days from that day or within such further period as the Central Government may allow in this behalf, furnish to the Custodian a complete inventory of all the properties and assets (including particulars of book debts and investments and belongings) forming part of the undertaki."13 of the company immediately before the appointed day and of all the liabilities and obligations of the company in relation to its undertaking subsisting immediately before that day and also of all agreements entered into by the company in relation to, its undertaking and in force immediately before that day.
(7) The Custodian shall receive from the funds of the undertaking of the company such remuneration as the Central Government may fix.
1 of 1956.
326 THE GAZETTE OF INDIA EXTRAORDINARY [PART 11—-
5. Notwithstanding anything contained in any law for the t ime being in force, no person in respect of whom any contract of management or other arrangement is terminated by reason of the provisions contained in, sub-setion (3) of section 3 or who ceases to hojd any office by reason of the provisions contained in sub-section (4) of that section, shall be entitled to claim any compensation Cor the premature termination of the contract of management or other arrangement or for the loss of office.