(1) The Central Government mav, as soon as it is convenient administratively so to do, appoint any person or body of persons (including a Government company, whether in existence at the commencement of this Ordinance or incorporated thereafter) as a Custodian of the textile nnfWfnkin" fnr the purpose of parrying on the management of such undertaking and the Custodian so appointed Manacement of certain textile undertakings tdi vest in the Central Government.
Custodian of the textile undertakings.
4 THE GAZETTE OF TNDTA EXTRAORDINARY [PART H— shall carry on the management of the textile undertaking for and on behalf of the Central Government.
(2) On the appointment of a Custodian under sub-section (1), the management of the textile undertaking shall vest in such Custodian and all persons in charge of the management of such undertaking immediately before such appointment shall cease to be in charge of such management and shall be bound to deliver such management to the Custodian.
(3) The Central Government may, by notification, authorise the Custodian to appoint any person (including a Government company, whether in existence at the commencement of this Ordinance or incorporated thereafter) as the Additional Custodian of the textile undertaking.
(4) The Additional Custodian shall assist the Custodian in the exercise of his or its powers and duties under this Ordinance and shall function under the direction, supervision and control of the Custodian; and the Custodian may delegate to the Additional Custodian all or such of his or its powers as he or it may think fit.
(5) Subject to any general or special direction given or condition Imposed by the Custodian, any person authorised by the Custodian to exercist any power may exercise that power in the same manner and with the same effect as if it had been conferred on that person directly by this Ordinance and not by way of authorisation.
(tf) The Central Government may issue such directions (including directions â to initiating, defending or continuing any legal proceedings before any court, tribunal or other authority) to the Custodian as to his or its powers and duties as the Central Government deems to be desirable in the circumstances of th? case, and the Custodian may also apply to the Central Government at any time for instructions as to the manner in which he or it shall conduct the management of the textile undertakine or in relation to any othtfr matter arising in the course of such management,
(7) Subject to the other provisions of this Ordinance and the control of the Central Government, the Custodian shall be entitled, notwithstanding anything contained in the Companies Act, 1956, to exercise all the powefs, in relation to the textile undertaking, of the Board of Directors of the textile comnany (includinc the power to dispose of any properties »r assets of the textile company) whether such powers are derived from the Companies Act, 1956, or from the memorandum and articles oF association of the concerned textile company or from nny other source.
(S) Every person havine possession, custody or control of any property forming part nf the textile undertaking shall deliver forthwith such property to the Custodian or to any officer or othor employee of the Central Government or the Custodian, as may be authorised by the Central Government or the Custodian ;n this behall".
(") Any person who, on the appointed day, has in his possession or under 'iir control any books, papers or other documents relating to the textile underiik'nn ihc management of which has vested in the Central Government undef this Ordinance, shall, notwithstanding anything contained in anv other law for the time bein^ in force, be liable to account for the books, papers and other documents (including such minutes books, cheque books, letters, memoranda, notes nr other communications) *n the Custodian and shnll deliver them up t«j i«n»5«- SEC. 1] THE GAZETTE OF INDIA EXTRAORDINARY 5 the Custodian or to any such person (being an officer or other employee of the Central Government or the Custodian) as may be authorised by the Central Government or the Custodian in ihis behalf.
(10) Every person in charge of the management of any textile undertaking immediately before the appointed day shall, within ten days from that day or within such further period as the Central Government may allow in this behalf, furnish to the Custodian a complete inventory of all the properties and assets (including particulars of book debts and investments and belongings) forming part of tb: undertaking immediately before the appointed day and of all thd liabilities and obligations of the textile company in relation to the undertaking, subsisting immediately before that day, and also of all agreements entered into bv such textile company in relation to the undertaking and in force immediately before that day.
(11) The Custodian and the Additional Custodian shall receive from thet funds of the textile undertakings such remuneration as the Central Government may fix.
S. (1) Every textile company shall be yiven bv the Central Government an amount, in cash, and at the iatc sp-cified in sub-section (2), for the vest-i ing in it, under section 3, of the management of the textile undertakes of the company.
(2) For every month durinc which (he management of the textile undertaking remains vested in the Centml Government under this Ordinance, the amount, referred to in sub-section (1), shall be computed— ( 0 for a spinning unit, at the rate- of fifty piisc per 1,000 spindles or any part thereof;
(in for a weaving unit, at the rate of one rupee per 100 1ooms or any part thereof;
(Hi) for a composite unit with or without dve-house at the rate °f fifty paise per 1,000 spindles or any part thereof plus onp rupee per 100 looms plus one paisa per 10,000 metres of cloth processed in the dyehouse based on the average monthly production "f the last three completed years;
(iv) for a whollv processing unit (being a unit which does not have any spindle o r loom), one paisa per on" thousand square metres or any part thereof of the average of the- total quantity of textiles processed during the period of three years immediately preceding the appointed) day in such unit.
CHAPTER TJI POWTR TO PROVIDE RELIEF TO THK TLXTIT F UNDERTAKINGS