(1) Where an offence punishable under this Ordinance has been offences committed by a company, every person who, at the time the offence by was committed, was in charge of, and was responsible to, the company companies, for the conduct of the business of the company, as well as the company, shall be deemed &%* guflty of the offence and shall be liable to be proceeded against and punished accordingly:
Provided that nothing contained in this sttb-section shall render any such peison Uabk to any punishment, if he proves that the offence was committed without hie knowledge or that he had exercised all due diligence to prevent the commission of such offence.
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(2) Notwithstanding anything contained in sub-section (I), where any offence under this Ordinance has been committed by a company and it is proved that the offence had 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 be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.
Explanation.—For the purposes of this section—
(a) "company" means any body corporate and includes a firm or other association of individuals; and
(b) "director", in relation to a firm, means a partner in the firm.
Protec- 31. (1) No suit, prosecution or other legal proceeding shall lie against tion of the Central Government or any officer of that Government or the existaction ing, or new, Government company in whicii the undertakings of the taken in Company have vested under this Ordinance or other person authorised faith ky that Government or Government company for anything which is in good faith done or intended to be done under this Ordinance.
(2) No suit or other legal proceeding shall lie against the Central Government or any of its officers or other employees or the existing, or new, Government company aforesaid or any officer or other person authorised by that Company for any damage caused or likely to be caused by aivthing which is in good faith done or intended to be done under this Ordinance.
Delega- 32< ^ T h e C e n t r a l Government may, by notification, direct that all tion of or any of the powers exercisable by it under this Ordinance, other than powers. the powers conferred by this section and sections 33 and 34, may also be exercised by such person or persons as may be specified In the notification.
(2) Whenever any delegation of power is made under sub-section (1), the person to whom, such power has been delegated shall act under the direction, control and supervision of the Central Government.
Power to 3 3 (J) The Central Government may, by notification, make rules for make carrying out the provisions of this Ordinance.
r U **' (2) In particular, and without preiudice to the generality of the foregoing power, such rules mav provide for all or any of the following matters, namely:—
(a) the time within which, and the manner In which, an intimation referred to In sub-section (3) of section 4 shaJJ be given;
(b) the form and manner in which, and the conditions under which accounts shall be maintained by the Custodian or Custodian-.
as required by sub-section (3) of section 10;
(c) the manner in which the monies In any provident fund or other fund, referred to in sub-section (2) of section 14, shall be dealt with;
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(d) any other matter which is required to be, or may be, prescribed.
(3) Every rule made by the Central Government under this Ordinance shall be laid, as soon as may be after it is made, before each House of Parliament while it is in session for a total period of thirty days, which may be comprised in one session or in two or more successive sessions, and, if before the expiry of the session immediately following the session or successive sessions aforesaid, both Houses agree in making any modification in the rule or both Houses agree that the rule should not be made, the rule shall thereafter 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 under that rule.
34. If any difficulty arises in giving effect to the provisions of this Power to Ordinance, the Central Government may, by order, not inconsistent with remove the provisions of this Ordinance, remove the difficulty: difficulties.
Provided that no such order shall be made after the expiry of a period of two years from the appointed day.
THE SCHEDULE (See sections 18, 19, 20, 21 and 26) ORDER OF PRIORITIES Part I Category I Employees' dues on account of unpaid salaries, wages, provident fund, Employees' State Insurance contribution or premium relating to Life Insurance Corporation of India in respect of any period whether before or after the management of the undertaking of the Company had been taken over by the Central Government.
Category II Secured loans obtaned by the Company from nationalised banks and p'ublic financial institutions during a ay period whether before or after the management of the undertaking of the Company had been taken over by the Central Government.
Category III Amounts due to trade and other creditors in relation to any transaction which took place during the post-take-over management period.
223 THE GAZETTE OF INDIA EXTRAORDINARY [PART II—SEC, I ] Part II Category IV Revenue, taxes, cesses, rates or other dues to the Central Government, State Government and local authorities or State Electricity Board for the pre-take-over management period.
Category V Amounts due to trade and other creditbrs in relation to any transaction which took place during the pre-take-over management period.
N. SANJIVA REDDY, President.
R. V. S. PERI SASTRI, Secy, to the Govt, of India.
PRINTED BY THE GENERAL MANAGER. GOVERNMENT OF INDIA PRESS, MINTO ROAD NEW DELHI AND PUBLISHED BY THE CONTROLLER OF PUBLICATIONS, DELHI, 1980