(2) If the Central Government is satisfied, after such inquiry as it may think proper, that any contract or agreement entered into at any time within) three years immediately preceding the appointed day between any of the textile companies or managing or other director of any such textile company and any other person in relation to any service, sale or supply to, pr by, its textile undertaking and in force immediately before the appointed day, has been entered into in bad faith, or is detrimental to the interests of the textile undertaking of the concerned textile company, it may make, within one hundred and eighty days from the appointed day, an order cancelling or varying (either unconditionally or subject to such conditions as it may think fit to impose) such contract on agreement and thereafter the contract or agreement shall have effect accordingly:
Provided that no contract or agreement shall be cancelled or varied except after giving to the parties to the contract or agreement a reasonable opportunity of being heard.
(2) Any person aggrieved by an order made under sub-section (1) may make an application to the principal civil court of original jurisdiction within the local limits of whose jurisdiction the registered office of the concerned l »f 1958.
Exclusion of period of operation of this Ordinance Itom limitation.
Protection of action taken in good faith.
Contracts, etc., In bad faith maybe cancelled or varied.
8 THE GAZETTE OF INDIA EXTRAORDINARY [PART H— textile company is situated for the variation or reversal of suoh order and thereupon such court may confiim, modify or reverse such order.
12. An,y transfer of property, movable or immovable, or any delivery of goody made by or on behalf of any of the textile companies (not being a transfer or delivery made in the ordinary course of its business" or in favour1 of a purchaser for valuable consideration and in good faith), if made within a period of MX mouths immediately preceding the appointed day, shall be void against the Central Governmen. or the Custodian, as the case may be.
13. If the Custodian is of opinion that any contract of employment entered mlo by any textile company or managing or other director of the company in relation to its textile undertaking at any time before the appointed day is unduly onerous, he or it may, by giving to the employee one month's notice in writing or salary or wages for onp month in lieu thereof, terminate such contract of employment.