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Section 3

Textile Undertakings (Taking over of Management) Ordinance, 1983Ordinance · 1983

(1) On and from the appointed day, the management of all the textile undertakings shall vest in the Central Government,

(2) The textile undertaking shall be deemed to include all assets, rights, leaseholds, powers, authorities and privileges of the textile company in relatioa to the!

said textile undertaking and all property, movable and immovable, including lands, buildings, workshops, projects, stores, spares, instruments, machinery, equipment, automobiles and other vehicles, antl goods under production or in transit, cash balances, reserve fund, investments and booklets and all other rights and interests in or arising out of such property as were, immediately before the appointed day, in the ownership, possession, power or control "of the textile company whether within or outside India and all books of account, registers and all other documents of whatever nature relating thereto.

(3) Any contract, whether express or implied, or other arrangement, in so far as it relates to the management of the business and affairs of the textile undertaking and in force immediately before the appointed day, or any order made by any court in so far as it relates to the management of the business and affairs of the textile undertaking and in force immediately before the appointed day shall be deemed to have terminated on the appointed day.

(4) All persons in charge of the management, including persons holding offices as directors, managers or any other managerial personnel, of the textile company in relation to the textile undertaking, immediately before the appointed day, shall be deemed to have vacated their offices as such on the appointed day.

(5) Notwithstanding anything contained in any other law for the time being in rorce no person in respect of whom any contract of management or other arrangement is terminated by reason of the provisions contained in sub-section

(3), or who ceases to hold any office bv reason of Ihc provisions contained in sub-section (4), shall be entitled to claim any compensation for the premature termination of th^ contract of management or other arrangement or for the loss of office, as the case may be.

(fi) Notwithstanding any iudgment, decree or order of any coiKt, tribunal or other authority or anyfhintr contained in anv other law (other than this Ordinance) for the time being in force, every receiver or other person in whoso possession or enstodv or under whose control the textile undertaking or any part thereof may be immediateiv before the appointed day, shall, on the commencement of this Ordinance, deliver the possession of the said undertaking or such part thereof, as the case may be, to the Custodian, or where no Custodian has been appointed, to such other person as the Central Government may direct.

(7) For the removal of doubts, it is hereby declared that anv liability incurred by a textile company in relation to the textile undertaking before the appointed day shall be enforceable against the concerned teT'ile company and not against the Central Government or the Custodian.

Where this provision sits

ActTextile Undertakings (Taking over of Management) Ordinance, 1983
Section3
StatusIn force as published by the source

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