(1) Notwithstanding anything contained in the Companies Act, 1956, or in any other law for the time being in force, or In the memorandum or articles of association of the company, the Board of Control may, with a view to securing the proper management off the undertaking of the company, appoint with the previous approval of the Central Government any individual, firm or body corporate as the managing agent of the company.
(2) The managing agent shall receive such remuneration as may be determined by the Board of Control with the previous approval pf the Central Government.
(3) The managing agent shall exercise in respect of the whole or any part of the undertaking of the company such functions of man^ agement as may be specified in the order of appointment and as may from time to time be entrusted to it by the Board of Control.
(4) The managing agent shall not be removed from office except with the previous permission of the Central Government.
(5) In the discharge of his functions the managing agent shall be under the general superintendence and control of the Board of Control.
(6) The management of the undertaking of the company shall be carried on pursuant to any directions given by the Board of Control SEC 1] THE GAZETTE OF INDTA EXTRAORDINARY 225 in accordance with the provisions of the notified order issued under subsection (1) of section 3 and the managing agent or any other person having any functions of management in relation to the undertaking of the company or any part thereof shall comply with such directions.
6. Without prejudice to the provisions contained in section 4, the Board of Control may, with the previous approval of the Central Government, make an application to any court having jurisdiction in this behalf for the purpose of cancelling or varying any contract or agreement entered into, at any time, before the issue of the notified order under sub-section (1) of section 3, between the company and any other person and the court may, if satisfied after duo inquiry that such contract or agreement had been entered into in bad faith and is detrimental to the interests o'f the company, make an order cancelling or varying (either unconditionally or subject to such conditions as It may think fit to impose) that contract or agreement, and the contract or agreement shall have effect accordingly.
Contracts in toad faith etc.
may be cancelled or varied.
7. Notwithstanding anything contained in any law for the time being in force, no person who ceases to hold any office by reason of the provisions contained in clause (a) of sub-section (1) of section 4, or whose contract of management is terminated by reason of the provisions contained in clause (b) of that subMseetion, shall be entitled to any compensation for the loss of office or for the premature termination of his contract of management:
Provided that nothing contained in this section shall affect the right of any such person to recover from the company moneys recoverable otherwise than by way of such compensation.
No right to compensation for termination of office or eontract.