(1) The lessee shall not, without the previous consent in writing of the administering authority - , (a) assign, sublet, mortgage, or in any other manner, transfer the production lease, or any right, title or interest therein, or
(b) enter into or make any bonafide arrangement, contract, or understanding whereby the lessee shall or may be directly of indirectly financed to a substantial extent by, or under which the lessee's operations or undertakings shall or may be substantially controlled by, any person or body of persons other than the.lessee :
3518 GI/2006—16 122 THE GAZETTE OF INDIA; EXTRAORDINARY [PART II—SEC. 3(i)]
Provided that where the mortgagee is a financial institution or a Bank, it shall not be necessary for the lessee to obtain any such consent of the administering authority.
(2) The administering authority shall not give his consent to transfer of production lease unless the transferee has accepted all the conditions and liabilities which the transferor was having in respect of such mining lease.
(3) Without prejudice to the provisions of sub-rule (1), the lessee may, transfer his lease or any right, title or interest therein to a person who has filed an affidavit stating that he has filed an up-to-date income-tax returns, paid the income tax assessed on him and paid the income tax on the basis of self-assessment as provided in the Income-tax Act, 1961 (43 of 1961):
Provided that the lessee shall make available to the transferee the original or certified copies of all plans of abandoned workings in the offshore area:
Provided further that where the mortgagee is a financial institution or a Bank, it shall not be necessary for any such institution or Bank to meet with the requirement relating to income tax:
Provided also that the lessee shall not charge or accept from the transferee any premium in addition to the sum spent by him, in obtaining the lease, and for conducting all or any of the operations referred to in rule 29 in or over the offshore area leased to him.
(4) The administering authority may, by order in writing, determine any lease at any time if the lessee has, in the opinion of the administering authority, committed a breach of any of the provisions of sub-rule (1) or sub-rule (2) or has transferred any lease or any right, title, or interest therein otherwise than in accordance with sub-rule (3):
Provided that no such order shall be made without giving the lessee a reasonable opportunity of stating his case.