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Section 24

Smith, Stanistreet and Company Limited (Acquisition and Transfer of Undertakings)Ordinance, 1977Ordinance · 1977

(7) Where any liability of the Company arising out of all or any of the items specified in category I, category II, category III or category IV of the Schedule are not discharged fully by the Commissioner out of the amount paid to him under this Ordinance, the Commissioner shall intimate in writing to the Central Government the extent of the liability which remains undischarged, and that liability shall be assumed by the Central Government.

(2) The Central Government may, by order, direct the Government company to take over any liability assumed by that Government under sub-section (1), and on receipt of such direction, it shall be the duty of the Government company to discharge such liability.

CHAPTER VII MISCELLANEOUS

25. The provisions of this Ordinance shall have effect notwithstanding anything inconsistent therewith contained in any other law for the time being in force or in any instrument having effect by virtue of any law other than this Ordinance, or in any decree or order of any court, tribunal or other authority.

26. (/) Every contract entered into by the Company in relation to its undertakings for any service, sale or supply, and in force immediately before the appointed day, shall, on and from the expiry of one hundred and eighty days from that day, cease to have effect, unless such contract is before the expiry of the period, ratified, m writing, by the Central Government or Government company, and, in ratifying such contract, the Central Government or Government company may make such alteration or modification therein as at may think fit :

Provided that the Central Government or the Government company shall not omit to ratify a contract, and, shall not make any alteration or modification in a contract, unless it is satisfied that such contract is unduly onerous or has been entered into in1 bad faith oi is> detrimental to the inteiests of the Central Government cr Government company.

(2) The Central Government or Government company shall not omit to ratify a contract, and, shall not make any alteration or modification therein, except after giving to the parties to the contract a reasonable opportunity of being heard and except after recording in writing its reasons for refusal to ratify the contract or for making any alteration or modification therein Undisbursed or unclaimed amount lo be deposited with the general revenue account.

Assumption of liability.

Ordinance to have overndinc effect.

Contracts to cease to have effect unless ratified by the Central Government or Government company.

368 THE GAZETTE OP INDlA • EXTRAORDINARY fpART II- Pcnslties Offences by companies Protection of "action taken in fiood faith Delegation ol powers

27. Any person who,—

(a) having in his possession, custody or control any property forming part of the undertakings of the Company, wrongfully withholds such property from the Central Government or the Government company or any person or body of persons authorised by that Government or Government company , or

(ft) wrongfully obtains possession of, or retains, any property forming part of the undertakings of the company or wilfully withholds or fails to furnish to the Central Government, or the Government company or any person or body of persons authorised by that Government or Government company any document relating to such undertakings which may be in his possession, custody or control or tails to deliver to the Central Government or the Government company or any person or body of persons authorised by that Government or Government company, any assets, books ot account, registers or other documents in his possession, custody or control relating to the untlerLakings of the company , or

(c) wrongfully removes or destroys any property forming part of the undertakings of the Company or prefers any claim under thrs Ordinance which he knows or has reasonable cause to believe to be false or grossly inaccurate, shall be punishable with imprisonment for a term which may uMend to two years, 01 with fine which may exten'd to ten thousand rupees, or with both.

Where this provision sits

ActSmith, Stanistreet and Company Limited (Acquisition and Transfer of Undertakings)Ordinance, 1977
Section24
StatusIn force as published by the source

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