Tamil Nadu Maritime Board Act , 1995 Bare Act

The source publishes this enactment as a single document rather than provision by provision, so the whole text is below and there are no per-section pages for it. Nothing has been shortened.

Long title	An act to provide for the Constitution of a Maritime Board for minor ports in the State of Tamil Nadu and to vest the Administration, Control and Management of such ports in that Board and for matters connected therewith.
Type	Act
Citation	Act 4 of 1996
Year	1996
Jurisdiction	State of Tamil Nadu
Status	In force as published by the source
Text	Published as one document, as the source published it
Subjects	transport

TAMIL NADU MARITIME BOARD ACT, 1995 ARRANGEMENT OF SECTIONS

CHAPTER I PRELIMINARY

1. Short title, Extent, Commencement and application.

2. Definitions.

CHAPTER II ESTABLISHMENT OF MARITIME BOARD

3. Establishment of Tamil Nadu Maritime Board.

4. Disqualifications of Members.

5. Term of Office of Chairman and members.

6. Vacation of office of member.

7. Eligibility for appointment.

8. Filling up of casual vacancies.

9. Absence of Chairman.

10. Meetings of Board.

11. Committees of Board.

12. Fees and allowances payable to members.

13. Members of Board or Committee not to vote in certain cases.

14. Acts of Board not to be invalidated by infirmity, vacancy, etc.

15. Delegation of powers.

16. Duties of Chairman.

CHAPTER III STAFF OF THE BOARD

17. Chief Executive Officer and Officers and servants of Board.

18. Power to make appointments.

CHAPTER IV.

PROPERTY AND CONTRACTS.

19. Transfer of assets and liabilities and employees, etc. of Government to Board.

20. Transfer of service of certain employees.

21. Existing rates, etc. to continue until altered by Board.

22. Repayment of Capital with interest.

23. Procedure when immovable property cannot be acquired by agreement.

24. Execution of contracts and agreement.

CHAPTER V.

WORKS AND SERVICE TO BE PROVIDED AT THE PORTS BY THE BOARD

25. Power of Board to execute works and provide appliances.

26. Power of Board to undertake certain works.

27. Power of Board to order sea-going vessels to use docks, wharves, etc.

28. Sea going vessels to use docks, wharves, etc.

29. Power to order vessels not to come alongside of, or to be removed from docks, wharves, etc.

30. Power of Government to exempt vessels from obligation to use wharves, etc.

31. Board to declare when vessels other than sea-going vessels compelled to use docks, Wharves, etc.

32. Services by Board or other person.

33. Responsibility of Board for loss, etc., of goods.

34. Accommodation.

35. Power to permit erection of private wharves.

36. Compensation.

CHAPTER VI.

IMPOSITION AND RECOVERY OF RATES AT PORTS.

37. Scale of rates.

38. Scale of rates and conditions for use of property of Board.

39. Rates for combination of services.

40. Concessional rates.

41. Prior sanction of Government to rates and conditions.

42. Power of Government to require modification or cancellations of rates.

43. Remission of rates or charges.

44. Refund of overcharges.

45. Notice of payment of charges short levied or erroneously refunded.

46. Time for payment of rates on goods.

47. Board’s lien for rates.

48. Ship owner’s lien for freight and other charges.

49. Sale of goods after two months if rates or rent are not paid or lien for freight is not discharged.

50. Disposal of goods not removed from premises of Board within time-limit.

51. Application of sale proceeds.

52. Recovery of rates and charges by distraint of vessel.

53. Grant of port clearance after payment of rates, realization of damages, etc.

CHAPTER VII BORROWING POWERS OF BOARD

54. Power to raise loans.

55. Board securities.

56. Right to joint or several payees of securities.

57. Power of one or two or more joint holders to grant receipts.

58. Endorsement to be made on a security itself.

59. Endorsement of security not liable for amount thereof.

60. Impression of signature on securities.

61. Issue of duplicate security.

62. Issue of converted, etc. securities.

63. Discharges in certain cases.

64. Security for loans taken by Board.

65. Remedies of Government in respect of Loans made to Board.

66. Power of Board to repay loans before due date.

67. Establishment of sinking fund.

68. Investment and application of sinking fund.

69. Examination of sinking fund.

70. Power of Board to raise loans on short term bills.

71. Power of Board to taken temporary loans or overdrafts.

72. Power of Board to borrow money from International Bank of Reconstruction and Development or other foreign institutions.

CHAPTER VIII.

REVENUE AND EXPENDITURE.

73. General Account of Ports.

74. Application of moneys in General Accounts.

75. Power to transfer moneys from general account to specified particular account and vice versa.

76. Establishment of Reserve Funds.

77. Power of reserve Board securities for Board’s own investments.

78. Prior sanction of Government to charge expenditure of capital.

79. Works requiring sanction of Board or Government.

80. Power of Chairman as to execution of works.

81. Power of Board to compound or compromise claims.

82. Writing off losses.

83. Powers, etc. of Board as Conservator.

84. Budget estimates.

85. Preparation of supplemental estimates.

86. Re appropriation of amounts in estimate.

87. Adherence to estimate except in emergency.

88. Accounts and audit.

89. Publication of audit report.

90. Board to remedy defects and irregularities pointed out in audit report.

91. Government to decide difference between Board and Auditors.

CHAPTER IX.

SUPERVISION AND CONTROL OF GOVERNMENT

92. Administration report.

93. Submission of statements of income and expenditure to Government.

94. Power of Government to supersede Board.

95. Power of Government to give directions to board.

CHAPTER X.

PENALTIES.

96. Persons employed under this Act to be public servants for certain purposes.

97. Penalty for contravention of sections 27, 28, 29 and 30.

98. Penalty for setting up wharves, quays, etc. without permission.

99. Penalty for evading rates, etc.

100. Recovery of value of damage to property of Board.

101. Person interested in contracts, etc. with Board to be deemed to have committed an offence under section 168 of Indian Penal Code.

102. Other Offences.

103. Cognizance offences.

104. Offences by companies.

CHAPTER XI.

MISCELLANEOUS.

105. Constitution of State Ports Consultative Committee.

106. Local Advisory Committee.

107. Limitation of proceedings in respect of things done.

108. Protection of act done in good faith.

109. Power to make rules.

110. Power to make regulations.

111. Provisions with respect to regulations.

112. Power of Government to direct regulations to be made.

113. Power of government to make first regulations.

114. Posting of certain regulations, etc.

115. Saving of right of Central Government and municipalities to use wharves, etc. for collection of duties and power of customs authorities.

116. Applications of provisions of Act to air craft.

117. Power to remove difficulties.

118. Repeal and savings The following Act of the Tamil Nadu Legislative Assembly received the assert of the President on the 11 th February 1996 and is hereby published for general information:- 7 ACT No.4 OF 1996.

An Act to provide for the Constitution of a Maritime Board for minor ports in the State of Tamil Nadu and to vest the Administration, Control and Management of such ports in that Board and for matters connected therewith.

Be it enacted by the Legislative Assembly of the State of Tamil Nadu, in the Forty-sixth Year of the Republic of India as follows :-

CHAPTER I.

PRELIMINARY

1. (1) This Act may be called the Tamil Nadu Maritime Board Act, 1995.

(2) It extends to the whole of the State of Tamil Nadu.

(3) It shall come into force on such date, as the Government may, by notification, appoint.

(4) It applies to all the minor ports in the State to which the Indian Ports Act applies on the date of the commencement of this Act and the Government may, by notification, apply the provisions of this Act with effect from such date, as may be specified in the notification, to any other minor ports in the State to which the Indian Ports Act is extended by the Government under section 4 of that Act.

2. In this Act, unless the context otherwise required,-

(a) “appointed day” in relation to any minor port means the day on which this Act is made applicable to that port;

(b) “Board” means the Tamil Nadu Maritime Board established under section-3;

(c) “Board Security” means debentures, bonds or dock certificates issued by the Board in respect of any loan contracted by it under the provisions of this Act;

8 Short title extent commencement and application Definition

(d) “Chairman” means the Chairman of the Board and includes the person appointed to act in his place under section 9;

(e) “Collector of Customs” means the Collector of Customs specified in the Customs Act, 1962;

(f) “dock” includes all basins, locks, cuts, entrances, graving docks, graving blocks, inclined planes, slipways, gridirons, moorings, transit sheds, warehouse, godowns, open plots and other works and things appertaining to any dock and also the portion of the sea enclosed or, protected by the arms or groynes of a harbour;

(g) “foreshore” in relation to a port means the area between the high water mark and the low water mark relating to that port;

(h) “goods” includes live stock and every kind of movable property;

(i) “Government” means the State Government’

(j) “high Water mark” in relation to a port means a line drawn through the highest points reached by ordinary spring tides at any season of the year at that port;

(k) “immovable property” includes wharfage-rights and all other rights exercisable on, over or in respect of, any land, wharf, dock or pier;

(l) “Indian Ports Act” means the Indian Ports Act, 1908;

(m) “Land” includes the bed of sea or river below high water mark and also things attached to the earth or permanently fastened to anything attached to the earth.

(n) “Low water mark” in relation to a port means a line drawn through the lowest points reached by ordinary spring tides at any season of the year at that port;

9 Central Act 52 Of 1962 Central Act XV, 1908

(o) “master” in relation to any vessel or craft making use of any minor port means, any person having, for the time being, the charge or control of such vessel or craft, as the case may be, except a pilot, harbour master, dock master, or berthing master of the port;

(p) “member” means a member of the Board;

(q) “minor port” means a port other than a major port declared as such by the Central Government under any law;

(r) “owner”-

(i) in relation to goods includes any consignor, consignee, shipper or agent for the sale, custody, loading or unloading of such goods, and

(ii) in relation to any vessel or craft making use of any port, includes any port owner, charterer, consignee or mortgagee in possession thereof;

(s) “pier” includes any stage, stairs, landing place, hard jetty, floating barge or pontoon and any bridges or other works connected therewith;

(t) “port” means any minor port to which this Act applies within such limits as may, from time to time, be defined by the Government under the Indian Ports Act;

(u) “port approaches” in relation to a port means those parts of the navigable rivers and channels leading to the port in which the Indian Ports Act is in force;

(v) “Prescribed” means prescribed by rules or regulations made under this Act;

(w) “Public securities” means – 10

(i) Promissory notes, debentures, stock or other securities of the Central Government or of any State Government;

Provided that securities both the principal and the interest whereof have been fully and unconditionally guaranteed by any such Government shall be deemed, for the purposes of this clause, to be securities of such Government;

(ii) debentures or other securities for money issued by or on behalf of any municipal body, Improvement Trust or Port Trust under the authority of any law for the time being in force in the State (including the Board securities)

(x) “rate” includes any toll, due, rent, fee or charge leviable under this Act;

(y) “regulations” means regulations made under this Act;

(z) “rules” means rules made under this Act;

(aa)“vessel” includes anything made for the conveyance, mainly by water, of human being or of goods;

(ab)“Wharf” includes any wall or stage and any part of the land or foreshore that may be used for loading or unloading goods or for the embarkation or disembarkation of passengers and any wall enclosing or adjoining the same.

CHAPTER II.

ESTABLISHMENT OF MARITIME BOARD.

3. (1) As soon as may be after the commencement of this Act, the Government may, by notification, establish a Board to be called the Tamil Nadu Maritime Board.

(2) The board shall be a body corporate, having perpetual succession and a common seal with power, subject to the provisions of this Act, to acquire, hold and dispose of property, both movable and immovable, and to contract, and may, by the said name, sue and be sued.

(3) The head office of the Board shall be at such place as the Government may, by notification, direct.

(4) The Board shall consist of such number of members, as may appointed by the Government, as below :-

(a) the Minister in-charge of Transport Department, ex-officio;

(b) the Secretary to Government Transport Department, ex-officio;

(d) the Secretary to Government, Finance department or his nominee not below the rank of a Deputy Secretary to Government of that department, dealing with the subject port, ex-officio;

(e) the Secretary to Government Public Works Department or his nominee not below the rank of a Deputy Secretary to Government of that department, ex-officio;

(f) the Secretary to Government Industries Dept. or his nominee not below the rank of a Deputy Secretary to Government of that department, ex-officio;

(g) the Chairman, Tamilnadu Electricity Board, ex-officio;

12 Establishment of Tamil Nadu Maritime Board

(h) the Managing Director, Poompuhar Shipping Corporation Limited, ex-officio;

(i) the Managing Director, SIPCOT Ltd, ex-officio;

(j) the Managing Director, TACID, ex-officio;

(k) one member who has experience of, and shows capacity in, matters relating to ports, shipping maritime affairs or commerce or in the administration of such matters;

(l) one member who possesses academic qualification in the subject of engineering and has wide experience of matters relating to harbour works;

(m) one member who is Chartered Accountant or who possesses high academic qualification in Accountancy and who has sufficient experience in accounts pertaining to industry, commerce, ports or shipping;

(n) one member who possesses academic qualification in navigation such as extra first class Ministry of Transport Ticket Holder (diesel or stream) and has experience in marine plants, particularly with reference to dredging or the persons who are experienced nautical officers;

(o) one member representing the interest of trade, commerce and industry;

(p) one member representing the interest of shipping;

(q) one member representing the interest of workers of minor ports;

(r) such other member not exceeding four, as may be appointed by the Government;

(5) The minister in-charge of Transport shall also be the chairman ex-officio;

and the Secretary to Government Transport Department shall also be the vice-chairman ex-officio of the board.

4. A person shall be disqualified for being appointed, or for continuing as a member of the Board, if he-

(a) has been removed or dismissed from the service of the Central Government or of any State Government or of any local authority or of a Corporation owned or controlled by the Central Government or by any State Government;

(b) has been convicted and sentenced to imprisonment for an offence involving moral turpitude: or

(d) has directly or indirectly any share or interest in any work done by order of the Board or in any contract or employment with, by or on behalf of the Board;

Provided that no person shall be deemed to have a share or interest in such work, contract or employment by reason only of his-

(i) having a share in any company or firm which may contract with or be employed by or on behalf of the Board; or

(ii) having a share or interest in any newspaper in which any advertisement relating to the affairs of the Board may be inserted;

(iii) being interested in any loan of money to the Board; or

(iv) having a share or interest in any lease, sale, exchange or purchase of immovable property or any agreement for the same; or

(v) having a share or interest in any licence issued by the Board or right by agreement or otherwise with the Board to the sole or preferential use of any premises or property belonging to the Board;

or 14 Disqualification of members

(vi) having a share or interest in the occasional sale to the Board to a value not exceeding ten thousand rupees in any one financial year, of any article in which he trades.

5. Term of office of non-official members; every non-official member shall hold office for a period of two years.

6. (1) The Government may remove a non-official member, who if he-

(a) becomes subject to any of the disqualifications mentioned in section 4 or

(b) refuses to act or becomes incapable of acting; or

(c) has, in the opinion of the Government, become incapable of representing the interests b virtue of which he was appointed; or

(d) absents, without the permissions of the Board, from six consecutive meetings of the Board; or

(e) acts in contravention of the provisions of section 13.

(2) Omitted.

(3) A member of the Board, other than the ex-officio member may resign from his office by tendering his resignation in writing to the Chairman who shall forward the same to the Government, but the resignation shall not take effect until it is accepted by the Government.

7. Any person ceasing to be a member shall, unless disqualified under section 4, be eligible for re-appointment.

8. (1) Omitted.

(2) Any casual vacancy in the office of a member of the Board shall be filled as early as possible after the occurrence of such vacancy.

15 Term of office of Chairman and members Vacation of office of members Eligibility for re-appointment Filling up of casual vacancies

Provided that where any casual vacancy occurs in the office or any such member within three months preceding the date on which the term of the office of such member expires under section 5. It shall not be filled.

(3) A member appointed under sub-section (2) shall hold office so long only as the member in whose place he has been appointed would have held office if the vacancy had not occurred.

9. If the Chairman is, by infirmity or otherwise, rendered incapable of carrying out his duties or is absent on leave or otherwise, the Vice-Chairman, and in the absence of both the Chairman and the Vice Chairman, such member, as the Government may appoint, shall act as the Chairman.

10. (1) The Board shall meet at such times and places, and shall, subject to the provisions of sub-sections (2) and (3), observe such rules of procedure in regard to the transaction of business at its meetings (including the quorum at meetings) as may be provided in the regulations;

Provided that the Board shall meet at least once in every month.

(2) The Chairman, or in his absence the Vice-Chairman, and in the absence of both the Chairman and the Vice Chairman, any person chosen by the members present from amongst themselves, shall preside at a meeting of the Board.

(3) All questions at a meeting of the Board shall be decided by a majority of the votes of the members present and voting and, in the case of any equality of votes, the person presiding shall have a second or casting vote.

16 Absence of Chairman Meeting of Board

(4) The Proceedings of the meetings of the Board shall be forwarded to the Government in the Department in charge of the minor-ports within seven days of every meeting.

11.(1) The Board may, from time to time, constitute from amongst its members, one or more committees, each consisting of such number as the Board may consider necessary, for the purpose of discharging such of its duties and functions as may be delegated to such committee or committees by the Board.

(2) A committee constituted under sub-section (1) shall meet at such time and at such place and shall follow such procedure in regard to the transaction of business at its meetings (including the quorum) as may be provided in the regulations.

12. The members including the Chairman shall be paid by the Board such fees and allowances for attending meetings of the Board or of any of its committees and for attending any work of the Board as may be provided in the rules.

13. A member of the Board or of a committee who-

(a) has directly or indirectly, by himself or by any partner, employer or employee, any such share or interest as is described in section 4, in respect of any matter, or

(b) has acted professionally in relation to any matter on behalf of any person having therein any such share or interest as aforesaid.

shall not vote or take part in any proceeding of the Board or any committee relating to such matter.

17 Committees of Board Fees and allowances payable to members Members of Board or Committee not to vote in certain cases

14. No act done or proceedings taken under this Act by the Board or any committee shall be invalidated merely on the ground of-

(a) any vacancy or any defect in the constitution of the Board or the committee; or

(b) any defect or irregularity in the appointment of a person acting as a member thereof; or

(d) any defect or irregularity in such act of proceedings not affecting the merits of the case.

15. The Board may, with the approval of the Government, direct that –

(a) such of the powers and duties conferred or imposed upon the Board by or under this act as may be specified in such direction, may also be exercised or performed by the Chairman.

(b) such of the powers and duties conferred or imposed on the Chairman, by or under this act as may be specified in such direction, may also be exercised or performed by the Vice-Chairman subject to such conditions and restrictions as may be specified in such direction.

Provided that the Vice-Chairman shall exercise the power and perform the duties specified in the direction, subject to the supervision and the control of the Chairman.

16. (1) It shall be the duty of the Chairman and the Vice-Chairman to attend every meeting of the Board unless prevented by sickness or other reasonable cause.

18 Acts of Board not to be invalidated by infirmity, vacancy, etc.

Members of Board or Committee not to vote in certain cases Delegation of Powers Duties of Chairman

(2) The Chairman shall exercise supervision and control over the acts of all employees of the Board in the matters of executive administration and in matters concerning the accounts and records of the Board.

CHAPTER III.

STAFF OF THE BOARD

17. (1)The State Port Officer shall be the Chief Executive Officer ex-officio of the Board.

(2) The Board may create posts and appoint such other officers and servants as it considers necessary, in accordance with the regulation made in this behalf, for the efficient performance of its functions.

(3) Notwithstanding anything contained in sub-section (2), the Board may, with the previous approval of the Government, sanction the creation of, or appoint any person to, any post the maximum monthly salary of which exceeds two thousand rupees.

(4) The remuneration and other conditions of service of the officers and servants of the board shall be such as may be prescribed by regulations.

18. (1)Subject to the provisions of section 17, the power of appointing any person to any post, whether temporary or permanent, shall –

(a) in the case of a post, the incumbent of which is to be regarded as the head of a department; or the maximum of the pay-scale for which (exclusive of allowance) exceeds two thousand rupees, be exercisable by the Government in consultation with the Chairman;

(b) in the case of any other post, be exercisable by the Chairman or by such authority as may be prescribed by regulations;

19 Chief Executive Officer and Other officers and servants Board Power to make appointments

Provided that no person shall be appointed as a pilot at any port who is not, for the time being authorized by the Government under the Indian Ports Act, to pilot vessels at that Port.

(2) The Government may, by order, specify any post, the incumbent of which shall, for the purpose of this Act, be regarded as head of a department.

CHAPTER IV PROPERTY AND CONTRACTS.

19. As from the appointed day, in relation to any port-

(a) all property, assets and funds and all rights to levy rates vested in the Government for the purpose of the port immediately before such day, shall vest in the Board;

(b) all debts, obligations and liabilities incurred, all contracts entered into, and all matters and things engaged to be done by, with or for the Government immediately before such day, for or in connection with the purposed of the port, shall be deemed to have been incurred, entered into and engaged, to be done by with, or for the Board;

(c) all non-recurring expenditure incurred by the Government for or in connection with the purposes of the port upto such day and declared to be capital expenditure by the Government shall be treated as the capital provided by the Government to the Board;

(d) all rates, fees, rents and other sums of money due to the Government in relation to the port immediately before such day, shall be deemed to be due to the Board;

20 Transfer for assets and liabilities and employees. Etc, of Government of Board.

(e) all suits and other legal proceeding instituted by or against the Government immediately before such day for any matter in relation, to the port, may be continued by or against the Board.

20. (1) (a) As soon as may be after the appointed day, the Government may, after consulting the Board, direct, by general or special order, that such of the employees of the Government who immediately before the appointed day were serving under the Government solely or mainly for or in connection with the affairs of the Port shall stand allotted to serve in connection with the affairs of the Board with effect on and from such date as may be specified in such order:

Provided that no such order shall be issued in respect of any such employee without his consent.

(b) With effect on and from the dates specified in the order under clause(a), the persons specified in such order shall become employees of the Board and shall cease to be employees of the Government.

(2) Every person referred to in sub-section (1) shall hold office under the Board by the same tenure, at the same remuneration and upon the same rights and privileges as to pension or gratuity, if any, and other matters as he would have held the same on the date specified in the order under clause (a) and sub-section (1), as if his Act had not been passed.

21 Transfer for Service of certain employees

(3) The liability to pay pension and gratuity to the persons referred to in subsection (1) shall be the liability of the Board.

(4) The sums at the credit of the provident fund accounts of the persons referred to in sub-section (1) as on the appointed day shall be transferred to the Board and the liability in respect of the said provident fund accounts shall be the liability of the Board.

(5) There shall be paid to the Board out of the accumulations in the superannuation fund and other like funds, if any, of the Government, such amounts as have been credited to the superannuation fund or other like funds, if any, on behalf of the persons referred to in sub-section (1). The amounts so paid shall form part of the superannuation fund or other like funds, if any, that may be established by the Board for the benefit of its employees.

21. As from the appointed day, all rates, fees, and other charges in relation to any port shall, unless and until they are varied by the competent authority in accordance with the provisions of this Act, continue to be levied and collected at the same rate at which they were being levied and collected by the Government before such day.

22. The Board shall repay, at such intervals and on such terms and conditions as the Government may, determine, the amount which is treated under clause (c) of sub-section (1) of section 19 as capital provided by the Government, with interest at such rate as may be fixed by the Government and such repayment of capital or payment of interest shall be deemed to be a part of the expenditure of the Board.

22 Existing rates, etc, to continue until altered by Board Repayment of capital with interest

23. Any land or any interest therein required by the Board for the purpose of this Act, may be acquired under the provision of the Land Acquisition Act, 1894.

24. (1) The contracts or agreement shall be made or executed in accordance with such rules as may be prescribed.

(2) A Contract or agreement made or executed in contravention of the provisions of this Act or the rules or regulations made thereunder shall not be binding on the Board.

(3) The form and manner of executing contracts on behalf of the Board shall be such as may be prescribed by rules.

CHAPER V.

WORKS AND SERVICES TO BE PROVIDED AT THE PORTS BY THE BOARD

25. (1) The Board may, subject to any other law for the time being in force, execute such works within or outside the limits of the port and provide such appliances as it may deem necessary or expedient.

(2) Such works and appliances may include-

(a) Wharves, quays, docks, stages, jetties, pipes, place of anchorage and other works within the port or port approaches or on the foreshore of the port or port approaches, with all such convenient arches, drains, landing places, stairs, fences, roads, bridges, tunnels and approaches, and buildings required for the residence of the employees of the board as the Board may consider necessary.

(b) Buses, locomotives, rolling stock sheds, hotels, warehouse and other accommodation for passengers and goods and other 23 Central Act 1984 Procedure when immovable property cannot be acquired by agreement Execution of contracts and agreement.

Power of Board to execute works and provide appliances appliances for carrying passengers and for conveying, receiving and storing goods landed or to be shipped or otherwise;

(d) reclaiming, excavating, enclosing and raising any part of the foreshore of the port or port approaches which may be necessary for the execution of the works authorized by this Act or otherwise for the purposes of this Act.

(e) such break waters and other works as may be expedient for the protection of the port;

(f) dredges and other machines for cleaning, widening, deepening and improving any portion of the port or port approaches or of the foreshore of the port or port approaches;

(g) light-houses, light-ships, beacons, buoys, pilot boats and other appliances necessary for the safe navigation of the port and the port approaches in so far as it relates to State functions;

(h) Vessels, tugs, boats, barges and launches and lighters for the use within the limit of the port or beyond those limits, whether in territorial waters or otherwise, for the purpose of towing or rendering assistance to any vessel, whether entering or leaving the port or bound elsewhere and for the purpose of saving or protecting life or property and for the purpose of landing, shipping or transshipping passengers or goods under section 32;

(i) Sinking of tube wells and equipments, maintenance and use of boats and other appliances for the purpose of the supply of water at the port;

(j) engines and other appliances necessary for the extinguishing of fires;

(k) lands abutting the sea coast including creeks;

(l) ferry boats and other works and equipment appertaining to the running ferry service at or between the ports;

(m) Construction of models and plans for carrying out hydraulic studies;

and

(n) dry docks, subways, boat basins and workshops to carry out repairs or overhauling of vessels, tugs, boats, machinery or other appliances.

26. (1) The Board may undertake to carry out on behalf of any person and works or services or any class of works or services, on such terms and conditions as may be agreed upon between the Board and the persons concerned.

(2) The Board may, if it considers it necessary or expedient in the public interest so to do, lend any of its vessels or appliances or the services of any of its employees to any person for such period not exceeding three months and on such terms and conditions as may be agreed upon between the Board and the persons concerned.

27. (1) When any dock, berth, wharf, quay, stage, jetty, pier or place of anchorage erected at any port or port approaches under the provisions of this Act has been completed with sufficient warehouses, sheds and appliances for receiving, landing or shipping goods or passengers from and upon sea going vessels, the Board may, after obtaining the approval of the Collector of Customs and by notification published in three consecutive issues of the Tamil Nadu Government Gazette, declare that such dock, berth, wharf, quay, stage, jetty, pier or place of 25 Power of Board to undertake certain works Power of Board to order sea going vessels to use docks, wharves, etc.

anchorage is ready for receiving, landing and shipping or for landing or for shipping goods or passengers from and upon sea going vessels.

(2) As from the date of the publication of such notification for third time, it shall be lawful for the Board from time to time, when there is room at such dock, berth, wharf, quay, stage, jetty, pier or place of anchorage, for the purpose of landing and shipping goods or passengers or for landing or for shipping the same, any sea going vessel within the port or port approaches which has not commenced to discharge goods or passengers or which being about to take in goods or passengers, has not commenced to do so;

Provided that before making such order, the Board shall have regard, as far as possible, to the convenience of such vessel and of the shippers, in respect of the use of any particular dock, berth, wharf, quay, stage, jetty, pier or place of anchorage;

Provided further that if the Board is not the conservator of the port, the Board shall not itself make the order as aforesaid, but shall require the conservator of the port, or other person exercising the rights, powers and authorities of the conservator of the port to make such order.

28. When a sufficient number of docks, berths, wharves, quays, stage, jetties or piers have been provided at any port or port approaches, the Board may, after obtaining the approval of the Collector of Customs and by notification published in three consecutive issue of the Tamil Nadu Government Gazette, direct that no goods or passengers shall be landed or shipped from or upon any sea going vessel within the port or port approaches otherwise than at such docks, berths, wharves, quays, stages, jetties or piers, except with the sanction of the Board and in accordance with such conditions as the Board may specify.

29. Any officer appointed by the Board in this behalf, may, in case of emergency or for any reason which appears to him sufficient, by notice in writing, order the Master or owner or agent of any sea going vessel not to bring such vessel alongside of, or to remove such vessel from any dock, berth, wharf, quay, stage, jetty, pier or place of anchorage belonging to or under the control of the Board and if, such notice is not complied with, the Board may charge in respect of such vessel such sum as it thinks fit, not exceeding one thousand rupees for each day or portion of such day, during which such vessel remains at such dock, berth, wharf, quay, stage, jetty, pier or place of anchorage;

Provided that in the case of a vessel ordered to be removed, such charge shall not commence to be made till after the expiry of twelve hours from the service of such notice on the matter or owner or agent of the vessel.

30. Notwithstanding anything contained in section 27 or 28, the Government may, if in their opinion, it is necessary in the public interest so to do by general or special order, from time to time, permit certain specified vessels or classes of vessels to discharge or ship goods or certain specified goods or classes of goods at such place in a port or within the port approaches, in 27 Sea going vessels to use docks, wharves, etc.

Power to order vessels not to come alongside of or to be removed from docks, wharves, etc.

Power to Government to exempt vessels from obligation to use wharves, etc.

such manner during such period and subject to such payments to be Board and on such condition as the Government may think fit.

31. (1) When any dock, berth, wharf, quay, stage, jetty, pier or place of anchorage for receiving, landing or shipment of goods or passengers from or upon vessels, not being sea going vessels, has been made and completed with all proper appliances in that behalf, the Board may, after obtaining the approval of the Collector of Customs, by order published in the Tamil Nadu Government Gazette……

(a) declare that such dock, berth, wharf, quay, stage, jetty, pier or place of anchorage is ready for receiving, landing or shipment of goods or passengers from or on vessels not being sea going vessels, and

(b) direct that, within certain limits to be specified therein, it shall not be lawful, without the express sanction of the Board, to land or ship any goods or passengers, out of or into, any vessel, not being sea going vessels of any class specified in such order except at such dock, berth, wharf, quay, stage, jetty, pier or place of anchorage.

(2) As from the date of the publication of the order mentioned in subsection(1), it shall not be lawful, without the consent of the Board, for any vessel specified in sub-section(1)

(a) to land or ship any goods or passengers at any place within the limits so specified except at such dock, berth, wharf, quay, stage, jetty, pier or place of anchorage, and

(b) while within such limits, to anchor, fasten or lie within fifty yards of the ordinary low-water mark.

28 Board to declare when vessels other than sea going vessels compelled to use docks wharves, etc.

(3) If, after the publication of such order, any such vessel, anchors, fastens or lies, within the limits so specified, it shall be lawful for the Board to cause the same to be removed out of the said limits at the expense of the master or owner or agent of the vessel.

32. (1) The Board shall have power to undertake the following services, namely:-

(a) stevedoring, landing, shipping or transshipping passengers and goods between vessels in port and the wharves, piers, quays or docks belonging to or in the possession of the Board.

(b) receiving, removing, shifting, transporting, storing or delivering goods brought within the Board’s premises;

(c) carrying passengers within the limits of the port or port approaches by such means and subject to such restrictions and conditions as the Government may think fit to impose; and

(d) piloting, hauling, mooring, remooring, hooking or measuring of vessels or any other service in respect of vessels.

(2) The Board may, if so requested by the owner, take charge of the goods for the purpose of performing the service and shall give a receipt in such form as the Board may specify.

(3) Notwithstanding anything contained in this section, the Board may authorize any person to perform any of the services mentioned in subsection (1) on such terms and conditions as may be agreed upon 29 Services by Board or other person.

(4) No person authorized under sub-section (3) shall charge or recover for such service any sum in excess of the amount leviable according to the scale framed under sections 37, 38 or 40.

(5) Any such person shall, if so required by the owner, perform in respect of the goods any of the services and for that purpose take charge of the goods and give a receipt in such form as the Board may specify.

(6) The responsibility of any such person for the loss, destructions or deterioration of goods of which he has taken charge shall, subject to the other provisions of this Act, be that of a bailee under sections 151, 152 and 161 of the Indian Contract Act, 1872.

(7) After any goods has been taken charge of and a receipt given for them under this section, any liability for any loss or damage which may occur to them shall attach to the person to whom a receipt has been given or to the master or owner of the vessel from which the goods have been landed or transshipped.

33. (1) Subject to the provisions of this Act, the responsibility of the Board for the loss, destruction or deterioration of goods of which it has taken charge shall.

(a) in the case of goods received for carriage by railway, be governed by the provisions of the Railways Act, 1989; and

(b) in other case, be that of a bailee under sections, 151, 152 and 161 of the Indian Contract Act, 1872, as if the works “in the absence of any special contract” in section 152 of that Act had been omitted;

Provided that no responsibility under this section shall attach to the Board:- 30 Central Act IX 1872 Central Act 2 1989 Central Act IX 1872 Responsibility of Board for loss, etc, or goods

(i) until a receipt mentioned in sub-section(2) of section 32 is given by the Board; and

(ii) after the expiry of such period as may b e prescribed by regulations from the date of taking charge of such goods by the Board.

(2) The Board shall not be in any way responsible for the loss, destruction or deterioration of, or damage to, the goods of which it has taken charge, unless notice of such loss, destruction or deterioration of or damage has been given within such period as may be prescribed by regulations made in this behalf from the date of taking charge of such goods by the Board under sub-section (2) of section 32.

34. (1) Where the Collector of Customs has, under the provisions of any Act for the levy of duties of customs, appointed any dock, berth, wharf, quay, stage, jetty, pier, place of anchorage, warehouse or shed or a portion of any warehouse or shed provided at any port under the provision of this Act for the use of sea-going vessels to be an approved place for the landing or shipping of goods or a warehouse for the storing of dutiable goods on the first importation thereof without payment of duty, within the meaning of the first mentioned Act, the Board shall set apart and maintain such place on or adjoining such dock, wharf, quay, stage, jetty, pier or a place of anchorage or in such warehouse or shed on portion thereof, for the use of officers of Customs as may be necessary.

(2) Notwithstanding that any dock, berth, wharf, quay, stage, jetty, pier place of anchorage, warehouse or shed or portion thereof at any port has, under the provisions of sub-section (1), been set apart for the use of the officers or Customs at the port, all rates and other charges payable under this Act in respect thereof, or for the storage of goods therein, shall be 31 Accommodation payable to the Board, or to such person or persons as may be appointed by the Board to receive the same.

35. (1) No person shall make, erect or fix, within the limits of the port or port approaches, any wharf, dock, quay, stage, jetty, pier, place of anchorage, erection or mooring or undertake any reclamation of foreshore within the said limits except with the previous permission in writing of the Board and subject to such conditions, if any, as the Board may specify.

(2) If any person makes, erects or fixes any wharf, dock, quay, stage, jetty, pier, place of anchorage, erection or mooring or undertakes reclamation of foreshore in contravention of sub-section(1), the Board may, by notice, require such person to remove it within such time as may be specified in the notice and if the person fails to remove it, the Board may cause it to be removed at the expense of that person.

36. (1) Where, as a result of an order published under section 28, or section 31, the use of any wharf, dock, berth, quay, stage, jetty, pier or place of anchorage, made, fixed or erected by any person is rendered unlawful, the Board may, after hearing the person concerned by order, close, remove, fill up or destroy such wharf, dock, berth, quay, stage, jetty pier or place of anchorage or permit the use thereof to such person on payment of such rate and charges as the Board may, with the previous sanction of the Government, determine.

(2) Save as otherwise provided under sub-section (3), no person shall be entitled to claim compensation for any injury, damage or loss caused or alleged to have been caused by an order made under sub-section (1).

32 Power to permit erection of private wharves Compensation

(3) If it is proved to the satisfaction of the Board that any such wharf, dock, berth, quay, stage, jetty, pier or place of anchorage was made, fixed or erected by any person with the previous permission of the authority competent to grant such permission, he shall be paid by the Board compensation of the amount which shall be determined in the manner and in accordance with the principles hereafter set out, that is to say.

(a) In computing the compensation, there shall not be taken into accounts any rates or other charges which such person shall be liable to pay for using any wharf, dock, berth, quay, stage, jetty pier or place of anchorage, provided by the Board.

(b) the amount of compensation shall be calculated with reference to the cost of construction of such wharf, dock, berth, quay, stage, jetty, pier or place of anchorage;

(d) where no such agreement can be reached, the Government shall appoint as arbitrator, a person who is, or has been, or is, qualified for appointment as a Judge of a High Court;

(e) the Government may, in any particular case, nominate a person possessing special knowledge of any matter relating to any case under inquiry to assist the arbitrator in determining any question which has to be decided by him under this section, and where such nomination is made, the person to be compensated may also nominate an assessor for the same purpose;

(f) at the commencement of the proceeding before the arbitrator, the Board and the person to be compensated shall state what in their respective opinion is a fair amount of compensation;

(g) the arbitrator shall, after hearing the dispute, make an award determining the amount of compensation which appears to him to be just and specify the person or persons to whom such compensation shall be paid;

(h) where there is a dispute as to the person or persons who are entitled to the compensation, the arbitrator shall decide such dispute and if the arbitrator finds that more persons than one are entitled to compensation, he shall apportion the amount thereof among such persons;

(i) nothing in the Arbitration Act, 1940 shall apply to arbitrations under this section;

(j) the Arbitrator appointed under this section, while holding arbitration proceedings under this Act, shall have all the powers of a Civil Court while trying a suit under the Code of Civil Procedure, 1908, in respect of the following matters, namely:-

(i) summoning and enforcing the attendance of any person and examining him on oath;

(ii) requiring the discovery and production of documents;

(iii) receiving evidence on affidavits;

34 Central Act X of 1940 Central Act V of 1908

(iv) issuing commissions for examination of witnesses or documents.

(4) Every award shall also state the amount of costs incurred in the arbitration proceedings under this section and by what persons and in what proportions they are to be paid.

(5) Any person aggrieved by an award of the arbitrator made under this section may, within thirty days from the date of the award, prefer an appeal to the High Court within whose jurisdiction the port is situated;

Provided that the High Court may entertain the appeal after the expiry of the said period of thirty days if it is satisfied that the appellant was prevented by sufficient cause form filing the appeal in time.

CHAPTER VI IMPOSITION AND RECOVERY OF RATES AT PORTS

37. (1) The Board shall, from time to time, frame a scale of rates at which and a statement of the conditions under which any of the services specified hereunder shall be performed by itself or any person authorized under section 32 at or in relation to the port or port approaches.

(a) transshipping of passengers or goods between vessels in the port of port approaches;

(b) stevedoring, landing and shipping of passengers or goods from or to such vessels, to or from any wharf, quay, jetty, pier, dock, berth, mooring stage, or erection, land or building in the possession or occupation of the Board or at any place within the limits of the port or port approaches;

35 Scales of rates

(d) wharf age, storage or demurrage of goods on any such place;

(e) any other service in respect of vessels, passengers or goods expecting the services in respect of vessels for which fees are chargeable under the Indian Ports Act.

(2) Different scale of rates and conditions may be framed for different classes of goods and vessels and for different port.

38. (1)The Board shall, from time to time, also frame a scale of rates on payment of which, and a statement of conditions under which, any property belonging to, or in the possession or occupation of, the Board or any place within the limits of the port or port approaches may be used for the purpose specified hereunder:-

(a) approaching or lying at or alongside any buoy, mooring, wharf, quay, pier, dock, land, building or place as aforesaid by vessels;

(b) entering upon or plying for hire at or any wharf, quay, pier, dock, land, building, road, bridge, approach or place as aforesaid by animals or vehicles carrying passengers or goods.

(d) any other use of any land, building, works, vessels or appliances belonging to or provided by the Board.

(2)Different scale of rates and conditions may be framed for different classes of goods and vessels and for different ports.

36 Scales of rates and conditions for use of Property of Board

39. The Board may, from time to time, frame a consolidated scale of rates for any combination of the service specified in section 37 or for any combination of such service or services with any user or permission to use any property belonging to or in the possession or occupation of the Board, as specified in section 38.

40. In framing scales of rate under any of the foregoing provisions of this Chapter, the Board may prescribe a lower rate in respect

(a) coastal goods, that is to say, goods other than imported goods as defined in the Customs Act, 1962, carried in a vessel from one Indian Port to another Indian Port;

Provided that the Board shall not make any discrimination between one Indian Port and one another such port in prescribing a lower rate under this section;

(b) other goods in special cases.

41. Every scale of rates and every statement of conditions framed by the Board under the foregoing provisions of this Chapter shall be submitted to the Government for sanction and shall have effect when so sanctioned and published by the Board in the Tamil Nadu Government Gazette.

42. (1) Whenever the Government consider it necessary in the public interest so to do, they may, by order in writing together with a statement of reasons therefor, direct the Board to cancel any of the scales in force or modify the same within such period as the Government may specify in the order.

(2) If the Board to whom a direction is given under sub-section (1) fails or neglects to comply with such direction within the specified period, the Government may cancel any of such scales or make such modifications therein as they may think fit;

37 Rates for combination of service Concessional rates Central Act 52 of 1962 Prior sanction of Government to rates and conditions Power of Government to require modification or cancellation of rates

Provided that before so cancelling or modifying any scale, the Government shall consider any objection or suggestion which may be made by the Board during the specified period.

(3) When, in pursuance of this section, any of the scales has been cancelled or modified, such cancellation or modification shall be published by the Government in the Tamil Nadu Government Gazette, and shall, thereupon, have effect accordingly.

43. The Board may in special cases, and for reasons to be recorded in writing, exempt, either wholly or partly, any goods, vehicles, or vessels or class of goods, vehicles, or vessels from the payment of any rate or of any charge leviable in respect thereof according to any scale of rates in force under this Act or remit the whole or any portion of such rate or charge so levied.

44. No person shall be entitled to refund of an overcharge made by the Board unless his claim to the refund has been preferred, in writing, by him or on his behalf to the Board within six months from the date of payment duly supported by all original relevant documents;

Provided that the Board may, of its own motion, remit overcharges made in its bills at any time.

45. (1)When the Board is satisfied that any charge leviable under this Chapter has been short levied or erroneously refunded, it may issue a notice to the person who is liable to pay such charge or to whom the refund has erroneously been made, requiring him to show cause why he should not pay the amount specified in the notice;

38 Remission of rates or charges Refund of over charges Notice of payment of charges short levied or erroneously refunded

Provided that no such notice shall be issued after the expiry of three years-

(a) when the charge is short levied, from the date of the payment of the charge,

(b) where a charge has been erroneously refunded, from the date of the refund.

(2) the Board may after considering the representation, if any, made by the person to whom notice is issued under sub-section(1), determine the amount due from such person and thereupon such person shall pay the amount so determined.

46. Rates in respect of goods to be landed shall be payable immediately on the landing of the goods and rates in respect of goods to be removed from the premises of the Board or to be shipped for export or to be transshipped shall be payable before the goods are removed, shipped or transshipped.

47. (1) For the amount of all rates leviable by the Board under this Act in respect of any goods and for the rent due to the Board for any building, plinths, stacking areas or other premises on or in which any goods may have been placed, the Board shall have a lien on such goods and may seize and detain the same until such rates and rents are fully paid.

(2) Such lien shall have priority over all other liens and claims, except for general average and for the ship owner’s lien upon the said goods for freight and other charges where such lien exists and has been preserved in the manner provided in sub-section(1) of section 48 and for money payable to the Central Government under any law for the time being in force, relating to customs other than by way of penalty or fine and to the Government under any law for the time being in force.

39 Time for payment of rates on goods Board’s lien for rates

48. (1) If the master or owner of any vessel or his agent at or before the time of landing from such vessels and goods at any dock, wharf, quay, stage, jetty, berth, mooring or pier belonging to or in occupation of the Board gives to the Board a notice in writing that such goods are to remain subject to a lien for freight or other charges payable to the ship owner, to an amount to be mentioned in such notice, such goods shall continue to be liable to such lien to such amount.

(2) The goods shall be retained in the custody of the Board at the risk and expense of the owners of the goods until such lien is discharged as hereinafter mentioned and godown and storage rent shall be payable by the party entitled to such goods for the time during which they may be so retained.

(3) Upon the production before any officer appointed by the Board in that behalf of a document purporting to be a receipt for, or release from, the amount of such lien, executed by the person by whom or on whose behalf such notice has been given, the Board may permit such goods to be removed without regard to such lien, provided that the Board shall have used reasonable care in respect of the authenticity of such document.

49. (1) The Board may, after the expiry of two months from the time when any goods have passed into its custody, or in the case of animals and perishable or hazardous goods after the expiry of such shorter period not being less than twenty four hours, after the landing of the animals or goods as the Board may think fit, sell by public auction or in such cases as the Board considers it necessary so to do, for reasons to be recorded in writing, sell by tender, private agreement or in any other manner such goods or so much thereof as in the opinion of the Board may be necessary-- 40 Ship owner’s lien for freight and other charges.

Sale of goods after two months if rates or rent are not paid or lien for freight is not discharged

(a) if any rates payable to the Board in respect of such goods have not been paid, or

(b) if any rent payable to the Board in respect of any place on or in which such goods have been stored has not been paid, or

(c) if any lien of any ship owner for freight or other charge of which notice has been given has not been discharged and if the person claiming such lien for freight or other charges has made to the Board an application for such sale.

(2) Before making such sale, the Board shall give ten days notice of the same by publication thereof in the Tamil Nadu Government Gazette and also in atleast one of the principal local daily news papers;

Provided that in the case of animals and perishable or hazardous goods, the Board may give such shorter notice and in such manner as, in the opinion of the Board, the urgency of the case admits of

(3) If the address of the owner of the goods has been stated in the manifest of the goods or in any of the documents which have come into the possession of the Board or is otherwise known, notice shall also be given to him by letter delivered at such address or sent by post but the title of a bonafide purchaser of such goods shall not be invalidated by reason of the omission to send such notice, nor shall any such purchaser be bound to inquire whether such notice has been sent.

(4) Notwithstanding anything contained in this section, controlled goods may be sold at such time and in such manner as the Government may direct.

Explanation--In this section and section 50, “Controlled goods” means goods the price or disposal of which is regulated under any law for the time being in force.

50. (1) Notwithstanding anything contained in this Act, where any goods placed in the custody of the Board upon the landing thereof are not removed by the owner or other person entitled thereto from the premises of the Board within one month from the date on which such goods were placed in their custody, the Board may if the address of such owner or person is known cause a notice to be served upon him by letter delivered at such address or sent by post, or if the notice cannot be so served upon him or his address is not known, cause a notice to be published in the Tamil Nadu Government Gazette, and also in atleast one of the principal local daily newspapers, requiring him to remove the goods forthwith and stating that in default of compliance therewith, the goods are liable to be sold by public auction or by tender, private agreement or in any other manner.

Provided that where all the rates and charges payable under this Act in respect of any such goods have been paid, no notice of removal shall be so served or published under this sub-section unless two months have expired from the date on which the goods were placed in the custody of the Board.

(2) The notice referred to in sub-section (1) may also be served on the agents of the vessel by which such goods were landed.

(3) If such owner or person does not comply with the requisition in the notice served upon him or published under sub-section (1), the Board may, any time after the expiration of two months from the date of which such goods were placed in its custody, sell the goods by public auction, or, in such cases as the Board considers it necessary so to do, for reasons to be recorded in writing sell by tender, private agreement or in any other manner such goods or so much thereof in the opinion of the Board may 42 Disposal of goods not removed from premises of Board within time limit.

be necessary after giving notice of the sale in the manner specified in sub-sections(2) and (3) of section 49.

(4) Notwithstanding anything contained in sub-section(1) or sub-section(3)

(a) the Board may in the case of animals and perishable or hazardous goods give notice or removal of such goods although the period of one month or as the case may be, of two months specified in subsection(1) has not expired or give such shorter notice of sale in such manner as in the opinion of the Board the urgency of the case requires;

(b) Controlled goods may be sold in accordance with the provisions of sub-section(4) of section 49.

(5) The Government may, if they deem necessary so to do in the public interest, by notification, exempt any goods or classes of goods from the operation of this section.

51. (1) The proceeds of every sale under section 49 or section 50 shall be applied in the following order, namely:-

(a) in payment of the expenses of the sale;

(b) in payment, according to their respective priorities, of the liens and claims exempted in sub section(2) of section 47 from the priority of the lien of the Board;

(c) in payment of the rates and expenses of landing, removing, storing or warehousing the same, and of all other charges due to Board in respect thereof including demurrage (other than the penal demurrage) payable in respect of such goods for a period of four months from the date of landing;

(d) in payment of any penalty or fine due to the Central Government under any law for the time being in force relating to customs;

(e) in payment of any other sum due to the Board.

(2) The surplus, if any, shall be paid to the importer, owner or consignee of the goods or to his agent, on an application made by him in this behalf within six months from the date of the sale of the goods.

(3) Where no application has been made under sub-section (2), the surplus shall be applied by the Board for purposes of this Act.

52. (1) If the master of any vessel in respect of which any rates or penalties are payable under this Act, or under any regulations or orders made in pursuance thereof, refuse or neglects to pay the same or any part thereof on demand, the Board may, distrain or arrest such vessel and the tackle, apparel and furniture belonging thereto or any part thereof and detain the same until the amount so due to the Board together with such further amount, as may accrue for any period during which the vessel is under distraint or arrest, is paid.

44 Application of sale proceeds.

Recovery of rates and charges by distraint of vessels.

(2) In case any part of the said rates or penalties or of the cost of the distrain or arrest or the keeping of the same, remains unpaid for a period of five days next after any such distrain or arrest has been so made, the Board may cause the vessel or other thing so distrained or arrested to be sold and with the proceeds of such sale, shall satisfy such rates or penalties and costs, including the cost of sale remaining unpaid, rendering the surplus (if any), to the master of such vessel, on demand.

53. If the Board gives to the officer of the Central Government whose duty is to grant the port clearance to any vessel at the port, a notice stating --

(a) that an amount specified therein is due in respect of rates, fines, penalties or expenses chargeable under this Act or under any regulations or orders made in pursuance thereof, against such vessel or by the owner or master or such vessel in respect thereof, or against or in respect of any goods in board such vessel; or

(b) that an amount specified therein is due in respect of any damage referred to in section 100 and such amount together with the cost of the proceedings, for the recovery thereof before a Magistrate under that section has not been realized, such officer shall not grant such port clearance until the amount so chargeable or due has been paid, or as the case may be, the damage and cost have been realized.

45 Grant of port clearance after payment of rates, realization of damages etc.

CHAPTER VII BORROWING POWERS OF BOARD

54. (1) The Board may raise loans with the previous sanction of the Government on such terms and conditions as may be prescribed by the Government for the purposes of this Act.

(2) Loans may be raised by the Board in the open market on Board securities issued by it or may be obtained from the Government or any Bank or any financial institutions like All India Financial Corporations and State Finance Corporations approved by the Government.

(3) The terms of all loans shall be subject to the approval of the Government.

55. (1) The Board may, with the sanction of the Government, prescribe the form in which the securities of the Board shall be issued by the Board and the mode in which, and the conditions subject to which, they may be transferred.

(2) The holder of any Board security in any form may obtain in exchange therefor, upon such terms as the Board may, from time to time, determine a Board security in other form prescribed by regulations.

(3) The right to sue in respect of money secured by the Board securities shall be exercisable by the holders thereof for the time being without preference in respect of priority of date.

56. (1) Notwithstanding anything contained in section 45 of the Indian Contract Act, 1872 -- 46 Power of raise loans Board of securities Right of Joints or several payees of securities Central Act IX of 1872

(a) when the Board security is payable to two or more persons jointly and either or any or them dies, the Board security shall be payable to the survivors of those persons, and

(b) when any such security is payable to two or more persons severally and all or any of them dies, the security shall be payable to the survivor or survivors of those persons or to the representatives of the deceased or to any of them.

(2) This section shall apply whether such death occurred or occurs before or after the appointed day.

(3) Nothing herein contained shall affect any claim which any representative of a deceased person may have against the survivor or survivors under or in respect of any security to which sub-section (1) applies.

(4) For the purpose of this section, a body incorporated or deemed to be incorporated under the Companies Act, 1956, or the Tamil Nadu cooperative Societies Act, 1983 or any other enactment for the time being in force, whether within or outside India, shall be deemed to die when it is dissolved.

57. Where two or more persons are joint holders of any Board security, any one of those persons may give an effectual receipt for any interest payable in respect of such security unless notice to the contrary has been given to the Board by any other holder.

58. Notwithstanding anything in section 15 of the Negotiable Instruments Act, 1881, no endorsement of a Board security which is transferable by endorsement shall be valid unless made by signature of the holder inscribed on the back of the security itself.

47 Central Act 1 of 1956 Tamil Nadu Act 30 of 1983 Power of one or two or more joint holders to grant receipts Central Act XXVI of 1881 Endorsement to be made on a security itself

59. Notwithstanding anything in Negotiable Instruments Act, 1881, a person shall not by reason only of his having endorsed any Board security be liable to pay any money due either as principal or as interest thereunder.

60. (1) The signature of the person authorized to sign Board securities on behalf of the Board may be printed, engraved or lithographed or impressed by such other mechanical process as the Board may direct on such securities.

(2) A signature so printed, engraved, lithographed or otherwise impressed shall be as valid as if it had been inscribed in the proper hand writing of the person so authorized.

61. (1) When any Board security is alleged to have been lost or stolen or destroyed, either wholly or in part, and a person claims to be the person to whom but for the loss or theft or destruction it would be payable, he may, on application to the Board and on producing proof to its satisfaction of the loss or theft or destruction and of the genuineness of the claim and on payment of such fee, if any, as may be prescribed by regulations, obtain from the Board an order for --

(a) the payment of interest in respect of the security said to be lost or stolen or destroyed, pending the issue of a duplicate security; and

(b) the issue of a duplicate security payable to the applicant.

(2) An order shall not be passed under sub-section (1) until after the issue by the Board of the notification of the loss or theft or destruction in the manner prescribed by regulations.

48 Central Act XXVI of 1881 Endorsement of security not liable for amount thereof Impression of signature on securities Issue of duplicate securities

(3) A list of securities in respect of which an order is passed under subsection(1) shall be published in such manner as the Board may prescribe by regulations.

(4) If, at any time before the Board becomes discharged under the provisions of this Act from liability in respect of any security, the whole of which is alleged to have been lost or stolen or destroyed, such security is found, any order passed in respect thereof under this section shall be cancelled.

62. (1) The Board may, subject to such conditions as it may prescribe, on the application of a person claiming to be entitled to a Board security or securities issued by it, on being satisfied of the genuineness of the claim and on delivery of the security or securities receipted in such manner and on payment of such fee, if any, as it may prescribe, convert, consolidate or sub-divide the security or securities, and issue to the applicant a new security or securities accordingly.

(2) The conversion, consolidation or sub-division referred to in sub-section(1) may be into security or securities of the same or different classes or of the same or different loans.

63. Notwithstanding anything contained in the Indian Limitation Act, 1693 --

(i) on payment of the amount due on a Board security on or after the date on which payment becomes due to, or

(ii) when a duplicate security has been issued under section 61, or

(iii) when a new security or securities has or have been issued upon conversion, consolidation or sub-division under section 62, the Board shall be discharged from all liabilities in respect of the security or securities so paid or in place of which a duplicate or new security or securities has or have been issued – 49 Issue of converted , et securities Discharge in certain cases Central Act 36 of 1963

(a) in the case of payment, after the lapse of six years from the date on which payment was due;

(b) in the case of duplicate security after the lapse of six years from the date of the publication under sub-section (3) of section 61 of the list in which the security is first mentioned or from the date of the last payment of interest on the original security, whichever date is later;

(c) in the case of new security issued upon conversation, consolidation or sub-division, after a lapse of six years from the date of the issue thereof.

64. All loans raised by the Board under this Act shall be a first charge on –

(1) the property vested or which may, hereafter during the currency of the loans, become vested in the Board other than –

(a) any sum set apart by the Board –

(i) is the sinking fund for the purpose of paying off any loan;

(ii) for the payment of pension to its employees; or

(b) the provident or pension fund established by the Board; and

(2) the rate leviable by the Board under this Act.

65. The Government shall have in respect of loans made by it to the Board the same remedies as holders of Board securities issued by the Board, and the Government shall not be deemed to posses any prior or greater rights in respect of such loans than holders of such Board securities;

50 Securities for loans taken by Board Remedies of Government in respect of loans made to Board

Provided that when the term of any such loan made before the appointed day expressly provide that the loan shall have priority over all other loans in the matter of repayment by the Board, such loan shall have priority.

66. The Board may, with the previous sanction of the Government, apply any sums out of moneys which may come into its hands under the provisions of this Act, and which can be so applied without prejudicing the security of the other holders of the Board securities, in repaying to the Government any sum which may remain due to them in respect of the principal of any loan although the time fixed for the repayment of the same may not have arrived.

Provided that no such repayment shall be made of any sum less than ten thousand rupees; and that if such repayment is made, the amount of interest in each succeeding installment shall be so adjusted as to represent exactly the interest due on the outstanding principal.

67. (1) If, in respect of a loan raised by the Board under this Act which is not repayable before the expiration of one year from the date of the loan, the Government by an order so direct the Board shall set apart half yearly out of its income as a sinking fund, a sum sufficient to liquidate the loan within a period which shall not in any case, unless the previous consent of the Government has been obtained, exceed twenty five years, but the maximum period shall not in any case exceed forty years;

51 Power of Board to repay loans before due date.

Establishment of sinking fund.

Provided that a sinking fund need not, in the absence of any stipulation to that effect, be established in the case of loans taken by the Board from the Central Government of any State Government.

(2) Where any sinking fund has before the appointed day, been established by any authority in respect of a loan raised by it, for which loan, the Board is liable under this Act, the sinking fund so established by that authority shall be deemed to have been established by the Board under this section.

68. (1)The sum so set apart by the Board under sub-section (1) or section 67 and the sums forming part of any sinking fund referred to in sub-section

(2) of that section shall be invested in public securities or in such other securities as the Government may approve in the behalf and shall be held by the Board in trust for the purposes of this Act.

(2) The Board may apply the whole or any part of the sums accumulated in any sinking fund in or towards the discharge of the moneys for the repayment of which the fund has been established.

Provided that it pays into the fund in each year and accumulates until the whole of the moneys borrowed are discharged, a sum equivalent to the interest which would have been produced by the sinking fund or the part of the sinking fund so applied.

69. (1)A sinking fund established for the liquidation of any loan shall be subject to annual examination by such person as may be appointed by the Government in this behalf and the person so appointed shall ascertain whether the cash and the current market value of the securities at the credit of the fund are actually equal to the amount which would have been accumulated if investment had been regularly made and the rate of interest as originally estimated had been obtained thereon.

52 Investment and application of sinking fund.

Examination of sinking fund.

(2) The Board shall pay forthwith into the sinking fund any amount which the person appointed under sub-section (1) to conduct the annual examination of the fund may certify to be deficient unless the Government specially sanctions gradual readjustment.

(3) If the cash and current market value of the securities at the credit of a sinking fund are in excess of the amount which should be at its credit, the person appointed under sub-section (1) shall certify the amount of the excess and the Board may, with the previous sanction of the Government, reduce or discontinue the half yearly contributions to the sinking fund required under section 67.

70. Nothing contained in this Act shall be deemed to affect the power of the Board to raise loans under the Local Authorities Loans Act, 1914.

71. Notwithstanding anything contained in this Act, the Board may –

(i) borrow moneys by means of temporary overdraft or otherwise by placing the securities held by the Board in its reserve funds or on security of the fixed deposits of the Board in its banks;

(ii) obtain advances from such banks on pledge or hypothecation of its current assets without the previous sanction of the Government;

Provided that such temporary overdrafts or other loans –

(a) shall not at any time have a longer currency than six months; and

(b)shall not be taken, without the previous sanction of the Government, if at any time in any year the amount of such overdrafts, or other loans exceeds such amount not exceeding ten lakhs of rupees, as the Government may fix in this behalf.

53 Power of Board to raise loans on short terms bills.

Power of Board to take temporary loans or overdrafts Central Act IX of 1914

Provided further that all moneys so borrowed by overdrafts or otherwise shall be expended for the purposes of this Act.

72. Notwithstanding anything contained in this Act but subject to any other law for the time being inforce, the Board may, with the previous sanction of the Government and on such terms and conditions as may be approved by the Government, raise, for the purposes of this Act, loans in any currency or currencies from the International Banks for Reconstruction and Development or from any other Bank or Institution in any country outside India, and no other provision of this Chapter shall apply to or in relation to any such loan unless the terms and conditions of the loan or the approval thereof by the Government otherwise provide.

54 Power of Board to borrow money from international Bank for Reconstruction and development foreign institutions

CHAPTER VIII REVENUE AND EXPENDITURE

73. All moneys received by or on behalf of the Board under the provisions of this Act and all moneys received by it as the conservators of the ports and of their approaches or as the body appointed under section 36 of the Indian Ports Act, shall be credited to a fund called the General Account of the Ports.

74. (1)The moneys credited to the General Account under section 73 shall be applied by the Board in payment of the following charges, namely:-

(a) the interest and installments of principal due in respect of any loan that may have been raised or obtained by the Board or for the repayment of which the Board may be liable and payments to the sinking fund established for such loan;

(b) the salaries, fees, remunerations, allowances, pensions, gratuities, compassionate allowances or other moneys due to –

(i) The Chairman, and other members of the Board.

(ii) The employees of the Board, and,

(iii) The surviving relatives, if any, of such employees;

(c) the contribution, if any, payable to the Central Government or any State Government on account of the pension and leave allowance of any officer lent to the Board by such Government.

(d) the cost and expenses, if any, incurred by the Board in the conduct and administration of any provident or welfare fund or loan of special fund established by the Board;

55 General Account of Port.

Application of moneys in General Account.

(e) the contributions, if any, duly authorized to be made by regulations made under this Act to any such fund as is referred to in clause (d);

(f) such sums as may, from time to time, be agreed upon by the Board and the Government or the Central Government or any other authority, as a reasonable contribution payable by the Board towards the expenses in connection with the watch and ward functions of the Police Force or the Central Industrial Security Force or any other Force which the Government or the Central Government or any other authority as the case may be, may establish and maintain for the protection of the port and the docks, warehouses and other property of the Board;

(g) the cost of repairs and maintenance of the property belonging to or vested in the Board and all charges upon the same and all working expenses;

(h) the cost of the execution and provision of any new work or appliances specified in section 25 which the Board may determine to charge to renew;

(i) Any expenditure incurred under section 26;

(j) any other expenditure which may be incurred by the Board generally for the purposes of this Act;

(k) any other charge which may, on the application of the Board or otherwise, be specifically sanctioned by the Government or for which the Board may be legally liable.

(2)All moneys standing at the credit of the Board which cannot immediately be applied in the manner or for the purposes specified in sub-section (1) shall 56

(a) be deposited in the State Bank of India or in any corresponding new bank as defined in clause (d) of section 2 of the Banking Companies (Acquisition and transfer of Undertakings) Act, 1970 as the Board may decide, or

(b) be invested in such public securities as may be determined by the Board and the said securities shall be held in trust by the Board for the purposes of this Act, or

75. The Board may, with the previous sanction of the Government, apply any sum out of the moneys credited to the General Account of the Port towards meeting deficits, if any, in the particular or specified account such as pilotage account, if so maintained or transfer the whole or part of any surplus funds in such particular account to the General Account of the Port.

76. The Board may, from time to time, set apart such sums out of its surplus income as it thinks fit as a reserve fund or funds for the purpose of expending existing facilities or creating new facilities at the ports or for the purpose of providing against any temporary decrease of revenue or increase of expenditure from transient causes or for purposes of replacement or for meeting expenditure arising from loss of damage from fire, cyclone, ship wrecks or other accident or for any other emergency arising in the ordinary conduct of its work under this Act;

57 Central Act 5 of 1970.

Power to transfer moneys form general account to specified particular account and Vice-versa Establishment of reserve funds.

Provided that the sums set apart annually in respect of, and the aggregate at anytime of any such reserve fund or funds shall not exceed such amount as may, from time to time, be fixed in that behalf by the Government.

77. (1)For the purposes of any investment which the Board is authorized to make under this Act, it shall be lawful for the Board to reserve and set apart any securities to be issued by it on account of any loan to which the consent of the Government has been given, provided that the intension to so reserve and set apart such securities has been notified as a condition to the issue of the loan.

(2)The issue by the Board of such securities direct to and in the name of the Board shall not operate to extinguish or cancel such securities, but every security so issued shall be valid in all respects as if issued to and in the name of any other person.

(3)The purchase by the Board or the transfer, assignment or endorsement to the Board of any security issued by the Board, shall not operate to extinguish or cancel any such security but the same shall be valid and negotiable in the same manner and to the same extent as if held by or transferred or assigned or endorsed to any other person.

78. (1)No expenditure shall be charged by the Board to capital without the previous sanction of the Government;

Provided that the Board may without such sanction charge to capital expenditure not exceeding such limit as may be specified and subject to such conditions as may be imposed by the Government.

(2)Nothing in sub-section (1) shall be deemed to require the further sanction of the Government in any case where the actual expenditure incurred as a 58 Power to reserve Board securities for Board’s own investments.

Prior sanction of Government to charge expenditure to capital.

charge to capital exceeds the expenditure sanctioned in this behalf by the Government unless the excess is more than ten percent of the expenditure so sanctioned.

79. (1)No new work or appliance the estimated cost of which exceeds such amount as may be fixed by the Government in this behalf, shall be commenced or provided by the Board, nor shall any contract be entered into by the Board in respect of any such new work or appliance until a plan of an estimate for such work or appliance has been submitted to and approved by the Board and in each the estimated cost of any such new work or appliance exceeds such amount, as may from time to time, be fixed by the Government in this behalf, sanction of the Government to the plan and estimates shall be obtained before such work is commenced or appliance provided.

(2)Nothing in sub-section (1) shall be deemed to require the further sanction of the Government in any case where the actual expenditure incurred does not exceed by more than ten per cent of the estimated cost so sanctioned.

80. Notwithstanding anything contained in section 79, the Chairman may direct the execution of any work the cost of which does not exceed such maximum limit as may be fixed by the Government in that department behalf and may enter into contracts for the execution of such works, but in every such case the Chairman shall, as soon as possible, make a report to the Board of any such directions given or contracts entered into by him.

81. (1)The Board may compound or compromise any claim or demand or any action or suit instituted by or against it for such sum of money or other compensation as it deems sufficient.

59 Woks requiring sanction of Board of Government Power of Chairman as to execution of works Power of Board to compound or compromise claims

Provided that no settlement shall be made under this section without the previous sanction of the Government if such settlement involves the payment by the Board of a sum exceeding such amount as may be specified by the Government in this behalf.

82. (1)Subject to such conditions as may be specified by the Government where the Board is of opinion that any amount due to or any loss, whether of money or of property incurred by the Board is irrecoverable, the Board may, with the previous approval of the Government, sanction the writing off finally of the said amount or loss;

Provided that no such approval of the Government shall be necessary where such irrecoverable amount or loss does not exceed, in any individual case, five thousand rupees or in the aggregate in any year, one lakh rupees.

(2)Notwithstanding anything contained in sub-section (1), where the Chairman is of opinion that any amount due to or any loss, whether of money or of property, incurred by the Board is irrecoverable, the Chairman may sanction the writing off finally of such amount or loss, provided that such amount or loss does not exceed, in an individual case, one thousand rupees or in the aggregate in any one year, twenty thousand rupees and in every such case, the Chairman shall make a report to the Board giving reasons for such sanction.

83. All the powers, authorities and restriction contained in this Act in respect of the work by this Act authorized, shall apply to the works which may be executed by the Board as the Conservator of the Port or as the body appointed under sub-section (1) of section 36 of the Indian Ports Act and 60 Writing off losses Powers, etc of Board as Conservator also to the sanction of such works, the estimate thereof and the expenditure thereunder.

84.(1) The Board shall, on or before the thirty first day of January in each year, hold a special meeting at which the Chairman shall submit an estimate of the income and expenditure of the Board for the next financial year, in such form as the Government may specify.

(2) A copy of such estimate shall be sent to each member of the Board so as to reach him not less than ten clear days prior to the date appointed for the special meeting referred to in sub-section (1)

(3) The Board shall consider the estimate at such meeting and may provisionally approve of it with or without modification.

(4) The Board shall, on or before the tenth day of February, case a copy of such estimate as provisionally approved by it, to be sent to the Government.

(5) The Government may sanction the estimate or may return it with remarks and may call for such additional information as they may deem necessary.

(6) When an estimate is returned under sub-section (5), the Board shall proceed to reconsider the estimate with reference to such remarks shall furnish such additional information as the Government may call for and shall, if necessary, modify or alter the estimate and resubmit it to the Government.

(7) The Government shall sanction the estimate with or without modifications.

61 Budget Estimate

(8) Where any such estimate is not sanctioned by the Government before the commencement of the financial year to which it relates, the Government may authorize the Board to incur such expenditure as may be necessary in the opinion of the Government until such time as the approval of the estimate by the Government is communicated to the Board.

85. the Board may in the course of any year for which an estimate has been sanctioned by the Government cause one or more supplemental estimates for the residue of such year to be prepared and the provisions of section 84 shall, so far as may be apply to such estimate as if it were an annual estimate.

86. Subject to any directions which the Government may give in this behalf, any sum of money or part thereof of which the expenditure has been authorized in an estimate for the time being in force sanctioned by the Government and which has not been so spent, may at any time be re-appropriated by the Board to meet any excess in any other expenditure authorized in the said estimate.

87.(1) Subject to the provisions of section 86, no sum exceeding such amount as the Government may fix in this behalf shall, save in cases of emergency, he expended by or on behalf of, the Board unless such sum is included in some estimate of the Board at the time in force which has been finally sanctioned by the Government.

(2) If any sum exceeding such limit as may have been fixed in this behalf under sub-section (1) is so expended by the Board on a pressing emergency, the circumstances shall be forthwith reported by the Chairman to the Government, together with an explanation of the way in which it is proposed by the Board to cover such extra expenditure.

62 Preparation of supplemental estimates Re-appropriation of amounts in estimate.

Adherence to estimate except in emergency

88.(1) The Board shall maintain proper accounts and other relevant records and prepare the annual statement of account including the balance sheet in such form as may be approved by the Government.

(2) The accounts of the Board shall be audited once in every year and if so required by the Government concurrently with the compilation of such accounts by an auditor appointed by the Government in consultation with the Comptroller and Auditor General of India (hereinafter referred to as “the Auditor”) and any amount payable to such Auditor by the Board in respect of such audit shall be debitable to the general account of the Board.

(3) The auditor have the same rights, privileges and authority in connection with the audit of the accounts of the Board as the Comptroller and Auditor General of India has in connection with the audit of the Government accounts and in particular shall have the right to demand production of books of accounts, connected vouchers and other documents of the Board.

89.(1) Within fourteen days after the audit and examination of the accounts of the Board have been completed, the auditor shall forward copies of the audit report to the Government and to the Board.

(2) The Government shall cause every audit report to be laid for not less than thirty days before the Legislative Assembly as soon as may be after such report is received by the Government.

63 Accounts and Audit Publication of audit report

90. The Board shall forthwith take into consideration any defects or irregularities that may be pointed out by the Auditor, in the audit report on the income and expenditure of the Board and shall take such action thereon as the Board may think fit and shall also send a report of the action so taken to the Government.

91. If there is a difference of opinion between the Board and the Auditor on any point included in the audit report, and the Board is unable to accept and implement the recommendations, if any, made by him on such point, the matter shall forthwith be referred to the Government which shall pass final orders thereon and the Board shall be bound to give effect to such orders.

64 Board to remedy defects and irregularities pointed out in audit report Government to decide difference between Board and Auditors

CHAPTER IX SUPERVISION AND CONTROL OF GOVERNMENT

92. As soon as may be after the first day of April in every year and not later than such date as may be fixed in this behalf by the Government, the Board shall submit to the Government a detailed report of the Administration of the ports during the proceeding year ending on the thirty first day of March, in such form as the Government may direct.

93.(1) The Board shall annually or often or if directed by the Government so to do, submit statements of its income and expenditure in such form and at such time as the Government may direct.

(2) A copy of all such statements shall be open to inspection of the public at the office of the Board during office hours on payment of such fee for each inspection as may, from time to time, be fixed by the Board.

94. (1) If, at any time, the Government are of opinion --

(a) that on account of a grave emergency, the Board is unable to perform the duties imposed on it by or under the provisions of this Act or of any other law, or

(b) that the Board has persistently made default in the performance of the duties imposed upon it by or under the provisions of this Act or of any other law and as a result of such default, the financial position of the Board or the administration of the ports has greatly deteriorated.

The Government may, by notification, supersede the Board for such period, not exceeding six months at a time, as may be specified in the notification;

65 Administration report Submission of Statements of income and expenditure to Government Power of Government to supersede Board

Provided that before issuing a notification under this sub-section for the reasons mentioned in clause (b), the Government shall give a reasonable opportunity to the Board to show-cause why it should not be superseded and shall consider the explanations and objections, if any, of the Board.

(2)Upon the publication of the notification under sub-section (1) superseding the Board --

(a) all the members of the Board shall, as from the date of supersession, vacate their offices as such members of the Board.

(b) all the powers and duties which may, by or under the provisions of this Act or of any other law, be exercised or performed by or on behalf of the Board, shall, until the Board is reconstituted under clause (b) or clause (c) of sub-section (3), be exercised and performed by such person or persons as the Government may direct;

(c) all property vested in the Board, shall, until the Board is reconstituted under clause (b) or clause (c) of sub-section (3), vest in the Government.

(3)On expiration of the period of supersession specified in the notification issued under sec-section (1), the Government may --

(a) extend the period of supersession for such further term not exceeding six months, as they may consider necessary, or

(b) reconstitute the Board by fresh appointment and in such case, any persons who vacated their offices under clause (a) of sub-section (2) shall not be deemed disqualified for appoint, or 66

(c) reconstitute the Board by appointment only for such period as they may consider necessary and in such a case, the persons who vacated their offices under clause (a) of sub-section (2) shall not be deemed disqualified for such appointment merely because they were members of the Board when the Board was superseded;

Provided that the Government may, at any time before the expiration of the period of supersession, whether as originally specified under sub-section (1) or as extended under this sub-section take action under clause (b) or clause (c) of this sub-section.

(4) The Government shall cause a notification issued under sub-section (1) and a full report of any action taken under this section and the circumstances leading to such action to be laid before the Legislative Assembly at the earliest possible opportunity.

95. (1)Without prejudice to the foregoing provisions of this Chapter, the Board shall, in the discharge of its function under this Act, be bound by such directions on question of policy, as the Government may give in writing to it from time to time.

(2)The decision of the Government, whether a question is one of policy or not, shall be final.

67 Power of Government to give directions to Board

CHAPTER - X PENALTIES

96. All members, officers and other servants of the Board shall be deemed to be public servants within the meaning of section 21 of the Indian Penal Code.

97.(1) Whoever contravenes any order made under section 27 or section 28 or section 29, or tails to comply with any condition imposed under section 30, shall be punishable with fine which may extend to one thousand rupees.

(2) Whoever after having been convicted of an offence under sub-section (1) continues to contravene the said order or neglect to comply with the said condition, shall on conviction, be punishable, for each day after the previous date of conviction during which he continues so to offend, with fine which shall not be less than one hundred rupees and not more than two hundred rupees.

98.(1) Any person who contravenes the provision of section 35 shall be punishable with fine which may extend to one thousand rupees.

(2) Whoever after having been convicted of an offence under sub-section (1) continues to contravene the said provisions in section 35, shall on conviction be punishable, for each day after the previous date of conviction during which he continues so to offend, with fine which shall not be less than one hundred rupees and not more than two hundred rupees.

68 Members, officers and other servant to be public servants Central Act XLV of 1860 Penalty for contravention of sections 27, 28, 29 and 30.

Penalty for setting up wharves, quays etc., without permission.

99. Any person, who with the intention of evading payment of the rates lawfully due under this Act in respect of any goods or vessels carrying any goods.-

(a) understates or incorrectly gives the weight, quantity, value or description of such goods, or the tonnage of such vessel in any document presented to any employee of the Board for the purpose of enabling him to determine such rates, or

(b) removes or attempts to remove or abets the removal of such goods or such vessel, shall be punishable with fine which may extend to twice the amount of rates so due subject to a minimum of fifty rupees.

100. If through the negligence of any person having the guidance or command of any vessel, or of any of mariners or perssons employed on such vessel, any damage is caused to any dock, wharf, quay, mooring, stage, jetty, pier or other work in the possession of the Board or any movable property belonging to the Board the amount of such damage shall, on the application of the Board, be recoverable together with the cost of such recovery, by distress and sale under a Magistrate’s warrant, of a sufficient portion of the boats, masts, spares, ropes, cables, anchors or stores belonging to such vessel;

Provided that no Magistrate shall issue such a warrant until the master of the vessel has been given a reasonable opportunity of being heard;

Provided further that no such warrant shall issue if the vessel was at the time under the orders of a duly authorized employee of the Board and the damage caused was attributable to the order, act or improper omission of such employee.

69 Penalty for evading rates etc.

Recovery of value damage to property of Board Central Act XLV of 1860

101. Any person who, being a member or an employee of the Board, acquires, directly or indirectly, any share or interest in any contract or employment with, by or on behalf of the Board, shall be deemed to have committed an office under section 168 of the Indian Penal Code;

Provided that nothing in this section shall apply to a person who is deemed not to have a share or interest in any contract or employment under the proviso to clause (d) of section 4.

102. Save as otherwise provided in section 97, 98, 99 and 100 any person who contravenes any of the provisions of this Act or of any rule, regulation or order made thereunder for the contravention of which no penalty is expressly provided thereunder, shall be punishable with fine which may extend to two hundred rupees.

103. No court inferior to that of a Metropolitan Magistrate or Judicial Magistrate of the first class shall try any offence punishable under this Act or any rule or regulation made thereunder.

104(1)Where an offence against any of the provisions of this Act or any rule made thereunder has been committed by a company, every person who at the time the offence was committed, was in charge of, and was responsible to, the company for the conduct of the business of the company, as well as the company, shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly.

Provided that nothing contained in this sub-section shall render any such person liable to any punishment provided in this Act if he proves that the offence was committed without his knowledge or that he has exercised all due diligence to prevent the commission of such offence.

70 Person interested in contracts, etc., with board to be deemed to have committed an offence under section 168 of Indian Penal Code Other offences Cognizance offences Offences by Companies

(2) Notwithstanding anything contained in sub-section (1) where any such offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or is attributable to any negligence on the part of any director, manager, secretary or other officer of the company, such director, manager secretary or other officer of the company shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

Explanation – For the purpose of this section –

(a) “company” means a body corporate and includes a trust, a firm, a society or other association of individuals; and

(b) “director” in relation to –

(i) a firm means a partner in the firm;

(ii) a society, a trust or other association of individuals, means the person who is entrusted under the rules of the society, trust or other association with the management of the affairs of the society, trust or other association, as the case may be.

CHAPTER - XI MISCELLANEOUS 105(1)The Government may, by notification, constitute a State Ports Consultative Committee (hereafter in this section called the “Consultative Committee”) consisting of member of the Board and such other persons, being not less than ten and not more than twenty as the Government may appoint from among persons who are in the opinion of the Government, representing the interest of the Chamber of Commerce, Shipping, Sailing, Vessels, Customs, Railways, Road Transport, Labour, Communication, Fisheries and Industries, so however that, there shall be atleast one member from each of the aforesaid interest.

(2) The Chairman of the Board shall be the ex-officio Chairman of the Consultative Committee.

(3) Such Officer of the Board as the Government may appoint in this behalf shall act as Secretary to the Consultative Committee.

(4) The functions of the Consultative Committee shall be as follows:--

(a) to advise the Board on all general questions pertaining to the ports;

(b) to advise the Board in respect of any scheme pertaining to development of any port;

72 Constitution of state Ports consultative Committee

(d) to suggest ways and means to remove any difficulty experienced by the Board in the administration of ports;

(e) to make suo-moto recommendation to the Board in regard to any matter relating to administration of the ports;

(f) to report to the Government, or as the case may be to the Board, on such matters as may be referred to it either by the Government or by the Board for its opinion.

(5) The Government may, by general or special order, provide for --

(a) the calling of the meetings of the Consultative Committee and the procedure of meetings;

(b) the duties of the Secretary of the Consultative Committee;

(c) the term of the office of persons appointed to be members of the Consultative Committee to represent any of the aforesaid interest, travelling allowance and daily allowance to the members of the Consultative Committee and rate thereof.

(6) Any person appointed to the consultative Committee to represent any of the aforesaid interest may resign from the membership by tendering his resignation in writing to the Chairman and the resignation shall take effect from the date on which it is received by the Chairman, who shall give intimation of the vacancy to the Government.

106(1)The Government may, from time to time, constitute a Local Advisory Committee for any port, consisting of such number of members as they may think fit in each case and on such terms and conditions as may be prescribed, by regulations.

73 Local Advisory Committee

(2)The Board may, if it thinks fit, consult the Local Advisory Committee concerned on any business coming before it, and shall do so in respect of such business as the Government may, by general or special order in this behalf, specify or when received by the regulations so to do.

(3) The Port Officer concerned shall be the ex-officio Chairman of the Local Advisory Committee.

(4)The Local Advisory Committee shall meet at such intervals as may be prescribed and for the transaction of urgent business on such other occasions as the Chairman of the Board may require.

(5)The number of members necessary to constitute a Quorum at a meeting of a Local advisory committee shall, as the Government may specify.

107. No suit, prosecution or other proceeding shall be instituted against the Board or any member or employee or employee thereof for any act done, of purporting to be done in pursuance of this Act unless the suit, prosecution or other proceeding is instituted within six months from the date of the act complained of.

108. No suit or prosecution or other proceeding shall lie against the Board or Committee or Chairman, Member, Chief Executive Officer or other officers and servants of the Board, anything which is in good faith done or intended to be done under this Act or any rule or regulation made thereunder, or for any damage sustained by any vessel in consequences of any defect in any of the mooring, hawsers or other things belonging to or under the control of the Board.

109(1) The Government may make rules for carrying out the purposes of this Act.

74 Limitation of proceedings in respect of things done Protection of Act done in good faith Power to make rules

(2) In particular and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters namely:--

(a) fees and allowances payable to the members of the Board or any of its committees for attending meetings of the Board or its committee or for attending any work of the Board, under section 12;

(b) the mode of executing contracts under section 24;

(c) factors to be taken into consideration for determining fair and reasonable compensation under sub-section (3) of section 36; and

(d) the terms and conditions of appointment of persons as members of a Local Advisory Committee under sub-section (1) of section 106;

(e) any other matter which is to be or may be prescribed by rules.

(3)Omitted;

(4) Every rule or order made or notification issued by the Government under this Act shall, as soon as possible after it is made or issued be placed on the table of the Legislative Assembly, and if before the expiry of the session in which it is so placed or the next session, the Legislative Assembly makes any modification in any such rule or order or notification or the Legislative Assembly decides that the rule or order or notification should not be made or issued, the rule or order or notification 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 or order or notification.

75 110 (1)The Board may make regulations not inconsistent with the provisions of this Act and the rules made thereunder with respect to all or any of the following matters, namely:-

(a) the times and places of the meetings of the Board or its committee, the procedure to be followed for the transaction of business at such meetings and the number of members necessary to constitute a quorum at such meetings;

(b) the appointment, promotion, suspension, removal and dismissal of its employees;

(c) leave, leave allowances, pensions, gratuities, compassionate allowances and travelling allowances of the employees and the establishment and maintenance of a provident fund or any other fund for their welfare;

(d) Omitted;

(e) the terms and conditions of service of persons who become employees of the Board under clause (b) of sub-section (1) of section 20;

(f) any other matter which is incidental to, or necessary for, the purpose of regulating the appointment and conditions of service of its employees;

(g) the form of receipt to be given under sub-section (2) of section 32;

76 Power to make regulations

(h) the period within which notice may be given under sub-section (2) of section 33;

(i) the factors to be taken into consideration in respect of payment of fair and reasonable compensation under sub-section (3) of section 36;

(j) the guidance of persons employed by the Board under this Act;

(k) the safe, efficient and convenient use, management and control of the docks, wharves, quays, jetties, buildings and other works constructed or acquired by, or vested in, the Board, or of any land or foreshore acquired by, or vested in the Board under this Act;

(l) the reception, porterage, storage and removal of goods brought within the premises of the Board, for the exclusive conduct of these operation by the Board or persons employed by the Board, and for declaring the procedure to be followed for taking charge of goods which may have been damaged before landing, or may be alleged to have been so damaged;

(m) keeping clean the port, river or basins or the bank of the river and the works of the Board, and, for preventing filth and rubbish being thrown therein or thereon;

(n) the mode of payment of rates leviable by the Board under this Act;

(o) regulating, declaring the defining the docks, wharves, quays, jetties, stages and piers vested in the Board on which goods shall be landed from vessels and shipped on Board vessels;

(p) regulating, declaring and defining the docks, wharves, quays, jetties, stages and piers vested in the Board on which goods shall be landed from vessels and shipped on Board vessels;

(q) regulating the lighterage of cargo between ships or between ships and shore or between shore and ships;

(r) the exclusion from the premises of the Board of disorderly or other undesirable persons and of trespasser;

(s) ensuring the safety of the port;

(t) generally for the efficient and proper administration of the ports;

(u) the person, if any, authorized to sign and the mode of affixing the corporate seal and of attestation of documents relating to Board securities issued or to be issued by the Board;

(v) the manner in which payment of interest in respect of such Board securities is to be made, recorded and acknowledged;

(w) the circumstances and the manner in which Board securities may be renewed;

(x) the circumstances in which such securities may be renewed before further payment of interest thereon can be claimed;

(y) the form in which such securities delivered for renewal, conversion, consolidation or sub-division are to be receipted;

(z) the proof which is to be produced by a person applying for duplicate securities;

(aa)the form and manner of publication of the notification mentioned in sub-section (2) of section 61 and the manner of publication of the list mentioned in sub-section (3) of that section.

(ab)the nature and amount of indemnity to be given by a person applying for the payment of interest in the Board securities alleged to have been wholly or partly lost, stolen or destroyed, or for the issue of duplicate Board securities;

(ac) the conditions subject to which Board securities may be converted, consolidated or sub-divided;

(ad)the amounts for which stock certificate may be issued;

(ae)generally all matters connected with a grant of duplicate, renewed, converted, consolidated and sub-divided securities;

(af) the fees to be paid in respect of the issue of duplicate securities and of the renewal, conversion, consolidation and sub-division of Board securities;

(ag)the fees to be levied in respect of the issue of stock certificate;

(ah)any other matter which is to be or may be prescribed by regulations.

(2) Any regulation made under this section may provide that a breach thereof shall be punishable with fine which may extend to two hundred rupees and where the breach is a continuing one, with further fine which may extend to fifty rupees for every day after the first day, during which such breach continues.

111 (1) No regulation made by the Board under this Act shall have effect until the same has been approved by the Government and published by the Board in the Tamil Nadu Government Gazette.

(2) The government may, by notification, rescind any regulation made under section 110, and thereupon the regulation shall cease to have effect.

79 Provisions with respect to regulations Power of Government to direct regulation to be made.

112 (1) Whenever the Government consider necessary, in the public interest so to do, it may, by order in writing together with a statement of reasons therefor, direct the Board to make regulation for all or any of the matters specified in section 110 or to amend any regulation, within such period as the Government may specify in this behalf;

Provided that the Government may extend the period specified by them to make such regulation by such period or periods as they may consider necessary.

(2) If the Board fails or neglects to comply with such direction within the period allowed under sub-section (1), the Government may, notwithstanding anything contained in section 110, make the regulations or amend the regulations, as the case may be, either in the form, specified in the direction or with such modification thereof as the Government may think fit;

Provided that before making or amending the regulation, the Government shall consider any objection or suggestion, if any, made by the Board within the said period.

(3) Where in pursuance of sub-section (2) any regulation has been made or amended, the regulation so made or amended shall be published by the Government in the Tamil Nadu Government Gazette and shall thereupon have effect accordingly.

113. Notwithstanding anything contained in this Act, the first regulations under this Act shall be made by the Government and shall have effect on being published in the Tamil Nadu Government Gazette.

114. The text of the regulations made under clauses (j) to (s) of section 110 and the scale of rates together with a statement of conditions framed by 80 Power of Government to make first regulations Posting of certain regulations etc.

the Board under chapter VI shall be prominently posted by the Board in English and Tamil on special boards to be maintained for the purposes at the wharves, docks, piers and other convenient places on the premises of the Board.

115. Nothing in this Act shall affect –

(1) the right of the Central Government to Collect customs duties or of any, municipality to collect any duties at any dock berth, wharf, quay, stage, jetty or pier on the possession of the Board, or

(2) any power of authority vested in the Customs authorities under any law for the time being inforce.

116. The provision of this Act shall also apply to all air craft’s making use of any port while on water in the same manner as they apply in relation to vessels.

117 (1) If any difficulty arises in giving effect to the provisions of this Act, the Government may, by general or special order, not inconsistent with the provisions of this Act, do anything which appears to them to be necessary or expedient for the purpose of removing the difficulty;

Provided that no such order shall be made in respect of a port after the expiry of a period of two years from the appointed day.

(2) Every order made under sub-section (1) shall, as soon as may be after it is made, be laid before the Legislative Assembly.

81 Savings of right of Central Government and Municipalities to use wharves, etc.

for collection of duties and power of Customs authorities.

Application of provisions of Act to air craft.

Power to remove difficulties.

Repeal and savings Tamilnadu Act 111 of

1985.

118. On the application of this Act to any port, the Tamil Nadu Out ports landing and Shipping Fees Act, 1885 shall stand repealed in relation to the port;

Provided that such repeal shall not affect --

(a) the previous operation of the Act so repealed, or anything duly done or suffered thereunder;

(b) any right, privilege, obligation or liability acquired, accrued and incurred under the Act so repealed;

(d) any investigation, legal proceeding or remedy in respect of any such right, privilege, obligation, liability, penalty, forfeiture or punishment as aforesaid; and any such investigation, legal proceeding or remedy may be instituted, continued or enforced, and any such penalty, forfeiture and punishment may be imposed, as if this Act had not been passed;

Provided further that subject to the proceeding proviso, anything done or any action taken under the repealed Act, shall, in so far as it is not inconsistent with the provisions of this Act, be deemed to have been done or taken under the corresponding provisions of this Act and shall continue to be in force accordingly unless and until superseded by anything done or any action taken under this Act.

(By order of the Governor) M. MUNI RAMAN, Secretary to Government, 82 Law Department.

PART IV – SECTION 2 TAMIL NADU ACTS AND ORDINANCE The following Act of the Tamil Nadu Legislative Assembly received the assent the Governor on the 20th February 1997 and is hereby published for general information:- AN ACT TO AMEND THE TAMIL NADU MARITIME BOARD ACT, 1995 ACT No.15 of 1997 BE it enacted by the Legislative Assembly of the State of Tamil Nadu in the Forty eight year of the Republic of India, as follows:-

1. (1) This Act may be called the Tamil Nadu Maritime Board (Amendment) Act,

1997.

(2) It shall come into force at once.

2. In Section 3 of the Tamil Nadu Maritime Board Act, 1995 (hereinafter referred to as the principal Act), for sub-section (4) and (5), the following sub sections shall be substituted, namely: -- **(4) The Board shall consist of such number of members, as may be appointed by the Government, as below:-

(a) the Minister in-charge of Transport, ex-officio;

(b) the Secretary to Government, Transport Department, ex-officio;

(d) the Secretary to Government, Finance Department or his nominee not below the rank of a Deputy Secretary to Government of that department dealing with the subject port, ex-officio.

83 Short title and commencement Amendment of Section 3.

Tamil Nadu Act 4 of 1996.

(e) the Secretary to Government, Public Works Department or his nominee not below the rank of a Deputy Secretary to Government of that Department, ex-officio;

(f) the Secretary to Government Industries Department or his nominee not below the rank of a Deputy Secretary to Government of that Department, ex-officio;

(g) the Chairman, the Tamil Nadu Electricity Board, ex-officio;

(h) the Managing Director, Poompuhar Shipping Corporation, ex-officio;

(i) the Managing Director, State Industries Promotion Corporation of Tamil Nadu Limited, ex-officio;

(j) the Managing Director, Corporation for Industrial Infrastructure Development Limited, ex-officio;

(k) one member who has experience of, and shows capacity in, matters relating to ports, shipping, maritime affairs or commerce or in the Administration of such matters;

(l) one member who possesses academic qualification in the subject of engineering and has wide experience of matters relating to harbour works;

(m) one member who is Chartered Accountant or who possess high academic qualification in Accountancy and who has sufficient experience in accounts pertaining to industry, commerce, ports or shipping;

(n) one member who possess academic qualification in navigation such as extra first class ministry of Transport Ticket Holder (Diesel or Stream) and has experience in marine plants, particularly with reference to dredging or who is an experienced Nautical Officer;

(o) one member representing the interests of trade, commerce and industry;

(p) one member representing the interest of shipping;

(q) one member representing the interest of workers of minor ports;

(r) such other members, not exceeding four, as may be appointed by the Government.

(5) The Minister in-charge of Transport shall also be the Chairman, exofficio, and the Secretary to Government, Transport Department shall also be the Vice Chairman ex-officio of the Board.

3. For section 5 of the principal Act, the following section shall be substituted, namely;- “5. Term of office of non-official members – Every non-official member shall hold office for a period of two years”.

4. In section 6 of the principal Act; --

(1) in sub-section (1), for the expression, “The Government may remove a member including the Chairman, who is not an official of the Board”, the expression “The Government may remove a nonofficial member”, shall be substituted.

(2) sub-section (2) shall be omitted.

5. In section 8 of the principal Act, sub-section (1) shall be omitted.

6. In section 15 of the principal Act, in clause (b) and in the proviso thereto, for the expression “Chief Executive Officer”, the expression “Vice Chairman” shall be substituted.

7. In section 17 of the principal Act, for sub-section (1), the following subsection shall be substituted, namely:-- “(1) The State Port Officer shall be the Chief Executive Officer, ex-officio of the Board”.

8. In section 19 of the principal Act, the figure “(1)” shall be omitted;

9. In section 109 of the principal Act, sub-section (3) shall be omitted;

10. In section 110 of the principal Act, in sub-section (1), clause (d) shall be omitted.

85 Amendment of Section 5.

Amendment of Section 6.

Amendment of Section 8.

Amendment of Section 15.

Amendment of Section 17.

Amendment of Section 19.

Amendment of Section 109.

Amendment of Section 110.

11. In section 114 of the principal Act, for the expression “clauses (10) to

(19)”, the expression “clauses (j) to (s)” shall be substituted.

(By order of the Governor) A.K. RAJAN, Secretary to Government, Law Department.

86 Amendment of Section 114.

The Tamil Nadu Maritime Board Act , 1995

The enactment

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