Section 26: Supersession of Board

(1) If the Government, on consideration of the report referred to in sub-section (1) of section 22 or otherwise, is of the opinion,— (a) that the Board is unable to perform its functions; or (b) that the Board has persistently made default in the discharge of its functions or has exceeded or abused its powers, the Government may, by notification, supersede the Board and reconstitute it in the prescribed manner, within a period of twelve months from the date of supersession. The period of supersession may be extended for sufficient reasons by a like notification, by not more than six months: Provided that before issuing a notification to supersede the Board under this sub-section on any of the grounds 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in clause (b), the Government shall give a reasonable opportunity to the Board to show cause why it should not be superseded, and shall consider the explanations and objections, if any, of the Board.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) After the supersession of the Board and until it is reconstituted, the powers, duties and functions of the Board under this Act shall be exercised and performed by the Government, or by such Officer or Officers, as the Government may appoint for this purpose. (3) When the Board is superseded, the following consequences shall ensure, that is to say:— (a) all the Directors of the Board shall, as from the date of publication of the notification under sub-section (1) vacate their office; (b) all the powers and functions, which may be exercised or performed by the Board, shall during the period of supersession, be exercised or performed by such persons as may be specified in the notification; (c) all funds and other property vesting in the Board shall, during the period of supersession, vest in the Government and on the reconstitution of the Board, such funds and property shall revest in the Board.