REGISTERED No. D-(D)-72 The Gazette of India EXTRAORDINARY
PART II—Section 1 PUBLISHED BY AUTHORITY No. 8] NEW DELHI, WEDNESDAY, MARCH 13, 1974/PHALGUNA 22, 1895 Separate paging is given to this Part in order that it may be filed as a separate compilation MINISTRY OF LAW, JUSTICE AND COMPANY AFFAIRS (Legislative Department) New Delhi, the 13th March, 1971/Phalguna 22, 1895 (Saka) The following Act of Parliament received the assent of the President on the 13th March, 1974, and is hereby published for general information:— THE NATIONAL CO-OPERATIVE DEVELOPMENT CORPORATION (AMENDMENT) ACT, 1974 No. 3 OF 1974 [13th March, 1974] An Act further to amend the National Co-operative Development Corporation Act, 1962.
BE It enacted by Parliament in the Twenty-fifth Year of the Republic of India as follows: —
1. (1) This Act may be called the National Co-operative Development Corporation (Amendment) Act, 1974.
Short title and commencement.(2) It shall come into force on such date as the Central Government may, by notification in the Official Gazette, appoint and different dates may be appointed for different provisions of this Act.
2. In the National Co-operative Development Corporation Act, 1962 (hereinafter referred to as the principal Act), for the long title, the following shall be substituted, namely: — 28 of 1962 Substitution of long title.
"An Act to provide for the incorporation and regulation of a corporation for the purpose of planning and promoting programmes for the production, processing, marketing, storage, export and import of agricultural produce, foodstuffs and certain other commodities on co-operative principles and for matters connected therewith.".
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3. In section 2 of the principal Act,—Amendment of section 2. (i) in clause (a),—
(1) for the words "means any of the following", the words "includes the following" shall be substituted;
(2) in item (i), the words "foodstuffs, including" shall be omitted;
(ii) after clause (a), the following clauses shall be inserted, namely: — '(aa) "bank" means a nationalised bank and includes a scheduled bank;
(db) "Board" means the Board of Management of the Corporation constituted under section 10;';
(Hi) in clause (d), for the word and figure "section 3", the words, brackets and figures "sub-section (1) of section 3" shall be substituted;
(iv) after clause (d), the following clauses shall be inserted, namely: — '(da) "foodstuffs", include—
(i) coconuts and areca-nuts;
(ii) eggs and egg products;
(iii) fish, whether fresh, frozen, dried or preserve^;
(iv) fruits, whether fresh, dried or dehydrated;
(v) honey;
(vi) meat, whether fresh, frozen, dried! or preserved;
(vn) milk and milk products;
(viii) vegetables;
(db) "General Council" means the General Council of the Corporation constituted under sub-section (4) of section 3;
(dc) "managing director" means the managing director of the Corporation;
(dd) "nationalised bank" means a corresponding new bank as defined in the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970;'; ft of 18(70.
(v) in clause (e), after the words "agricultural produce", the words "and foodstuffs" shall be inserted;
(vi) after clause (g), the following clause shall be inserted, namely: — '(ga) "scheduled bank" means a bank for the time being Included in the Second Schedule to the Reserve Bank of India Act, 1934;'. 3 of 1934.
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4. In section 3 of the principal Act, for sub-sections (3), (4) and (5), the following sub-sections shall be substituted, namely: — Amendment of section 3.
"(3) The Corporation shall carry on its functions through the General Council and the Board.
(4) The General Council shall consist of the following members, namely: —
(i) a President and a Vice-President, both to be nominated by the Central Government;
(ii) eight members, ex officio, to be nominated by the Central Government from such of its Ministries dealing with econo^ mlc matters as it may think fit;
(Hi) Deputy Governor of the Reserve Bank in charge of rural credit, ex officto;
(iv) Managing Director of the State Bank, ex offido;
(v) Managing Director of the Food Corporation of India, constituted under the Food Corporations Act, 1964, ex officio;37 of 1904.
(w) Managing Director of the Central Warehousing Corporation, constituted under the Warehousing Corporations Act, 1962, ex offiicio;89 of 1962.
(vii) Chairman of the Industrial Finance Corporation of India, constituted under the Industrial Finance Corporation Act, 1948, ex officio;15 of 1948.
(viii) a member representing banks, to be nominated by the Central Government;
(ice) Chairman of the National Co-operative Union of India, ex officio;
(x) Chairman of the National Agricultural Co-operative Marketing Federation, ex officio;
(xi) Chairman of the National Federation of Co-operative Sugar Factories, ex officio;
(xii) Chairman of the All India Federation of Co-operative Spinning Mills, ex officio;
(xiii) Chairman of the All India State Co-operative Banks' Federation, ex officio;
(xiv) eleven members, other than those nominated under clause (xv), representing the States and the Union territories, to be nominated by the Central Government, provided that not more than one person shall be so nominated from each State or Union territory;
(xv) eleven members to be nominated by the Central Government from among the Chairmen of the State level co-operative federations from the States and Union territories, provided that not more than one person shall be so nominated from each State or Union territory;
(xvi) four members representing persons having special knowledge of, or practical experience in, agricultural co-operative development, to be nominated by the Central Government;
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(xvii) three members representing national level organisations engaged or interested in the promotion and development of co-operative programmes, to be nominated by tbe Central Government;
(xvlii) the managing director.
(5) The powers and functions of the Corporation shall be exercised or discharged, as the case may be, by the General Council, and references elsewhere in this Act to the Corporation shall, unless the context otherwise requires, be construed as references to the General Council.
(6) Notwithstanding the expiry of the prescribed term of his office, every member of the General Council shall continue to hold office as such, until his successor in such office has assumed charge of such office.
(7) Members of the General Council, other than the managing director, shall be entitled to receive such sitting fees as may be specified by regulations made by the Corporation under this Act, for attending any meeting of the General Council, Board or any committee of the Corporation:
Provided that no official member shall be entitled to receive any sitting fee.".
5. In section 4 of the principal Act, in clause (iti), before the words "if he is a salaried official'1, the v.-ords "except in the case of managing director," shall be inserted.
Amendment of section 4.
6. In section 7 of the principal Act.—Amendment of section 7. (i) in sub-section (1), for the words "shall meet at such times", the words "shall ordinarily meet twice a year at such times" shall be substituted;
(ii) in sub-sections (2) and (3), for the words "Chairman" and "Vice-Chairman", wherever they occur, the words "President" and "Vice-President" shall, respectively, be substituted.
7. In section 8 of the principal Act,—Amendment of section 8. (i) in sub-section (1), for the words "Secretary of the Corporation", the words "managing director" shall be substituted;
(ii) in sub-section (3), in clause (a), for the Word "Secretary", the words "managing director" shall be substituted;
(iii) after sub-section (3), the following sub-section shall be inserted, namely: — " (4) The managing director shall exercise such powers and perform such duties as the Board may entrust or delegate to him.".
4M. 13 Tflt GAZBTtft OT INDIA EXTBAORDINARY 373 «, In »ectlon 9 of the principal Act,— Amendment of section 9.(i) for sub-section (1), the following sub-section shall be substi- , tuted, namely: — "(1) Subject to the provisions of this Act, the functions of the Corporation shall be to plan and promote programmes, through co-operative societies, for—
(a) the production, processing, marketing, storage, export and import of agricultural produce, foodstuffs, poultryfeed and notified commodities;
(fe) the collection, processing, marketing, storage arid export of minor forest produce.";
(tt) In sub-section (2),—
(a) in clause (b), for the words "agricultural produce", the words "agricultural produce, foodstuffs" shall be substituted;
(o) after clause (c), the following clauses shall be inserted, namely:—> "(d) provide loans and grants directly to the national level co-operative societies and other co-operative societies having objects extending beyond one State;
(e) provide loans to co-operative societies on the guarantee of State Governments or in the case of co-operative societies in the Union territories, on the guarantee of Central Government;
(f) participate in the share capital of the national level co-operative societies and other co-operative societies having objects extending beyond one State.".
*. For section 10 of the principal Act, the following section shall be substituted!, namely:— Substitution of new flection for »ectlon IT).
"10. (1) There shall be a Board of Management of the Corporation Which shall consist of the following members, namely: — Board of Management of the Corpora* tion.
(i) the Vice-President of the General Council, who shall be the Chairman;
(ii) three members of the General Council, to be nominated by the Central Government f] om among the members referred to in clause (li) of sub-section (4) of section 3;
(Hi) the member of the General Council referred to in- Otause (.Hi) of sub-section (4) of section 3;
(iv) one member of the General Council, to be nominated by the Central Government from among the members referred to In. clauses (ix), (x), (xi), (xii) and (xiii) of sub-section (4) of section 3;
(v) two members of the General Council, to be nominated by the Central Government from among the members referred to in clause (xiv) of sub-section (4) of section 3;
(vi) two members of the General Council, to be nominated by the Central Government from among the members referred to In clause (xv) of sub-section (4) of section 3;
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(vii) one member of the General Council, to be nominated by the Central Government from among the members referred to in clauses (an>i) and (xvii) of sub-section (4) of section 3;
(uiii) the managing director.
(2) The Vice-Chairman of the Board shall be nominated by the Central Government.
(3) Subject to the general control, direction and superintendence of the General Council, the Board shall be competent to deal with any matter within the competence of the Corporation.
(4) The Board shall meet at such times and at such places and shall observe such procedure in regard to transaction of business at its meetiags (including the quorum at meetings) as may be provided by regulations made by the Corporation under this Act.
(5) The confirmed minutes of every meeting of the Board shall be laid before the General Council at its next following meeting.".
10. In section 12 of the principal Act,—Amendment of section 12. (i) in clause (a), the word "and" occurring at the end shall be omitted;
(ii) in clause (b), the word "and" shall be inserted at the end;
(til) after clause (b), the following clause shall be inserted, namely:— "(c) such additional grants, if any, for the purposes of this Act.".
11. After section 12 of the principal Act, the following section shall be inserted, namely: — Insertion of new section 12A, "12A. (I) The Corporation may, for th;; purposes of carrying out its functions under this Act, and with the previi-us approval of, and subject to the directions of the Central Goverm.ient, borrow money from— Power of Corporation to borrow money.
(a) the public by the lHsue or sale of bonds or debentures, or both, carrying interest at such rates as may be specified therein;
(b) any bank or other financial institution;
(c) any other authority, organisation or institution as may be specially approved by the Central Government in this behalf.
(2) The Central Government may guarantee the repayment of the moneys borrowed by the Corporation under clause (a) or clause
(b) or clause (e) of sub-section (1) and the payment of interest thereon and other incidental charges.".
12. In section 13 of the principal A c t -Amendment of section 13.
(i) in sub-section (1),—
(a) after clause (b), the following clause shall be inserted, namely: — "(ba) all moneys borrowed under section 12A;";
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(b) in clause (d), after the words "or dividends", the words "or other realisations" shall be inserted;
(ii) in sub-section (2), in clause (b), for the word "officers", the words "managing director, the officers" shall be substituted;
(Hi) in sub-section (3), for the words "State Bank", the words "State Bank or a nationalised bank" shall be substituted.
13. In section 18 of the principal Act, for the words "the Corporation", the words "the General Council, the Board or any of the committees of the Corporation" shall be substituted.
Amendment of section 18.
14. In section 10 of the principal Act, for the words "Chairman or the Vice-Chairman", the words "President or the Vice-President" shall be substituted.
Amendment of section 19.
15. In sub-section (2) of section 22 of the principal Act,— Amendment of section 22.(i) clauses (a), (b) and (c) shall be omitted;
(ii) in clause (e), for the words "Secretary to the Corporation", the words "managing director" shall be substituted;
(Hi) clause (f) shall be omitted.
16. In sub-section (2) of section 23 of the principal Act,— Amendment of section 23.(i) in clause (a), for the words "the Corporation, the Executive Committee and other committees thereof, the words "the General Council, the Board and other committees of the Corporation" Bhall be substituted;
(ii) in clause (b), for the word "Secretary", the words "managing director" shall be substituted.
K. K. SUNDARAM, Secy, to the Govt. of India.
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