(1) Notwithstanding anything contained in section 3, the State Government may, if it is satisfied that an existing Government Company is willing to comply, or has complied, with such terms and conditions as that Government may think fit to impose, direct, by notification, that the assets of the Company, and the right, title and interest of the Company in relation to its assets which have vested in the State Government under section 3, shall, instead of continuing to vest in the State Government, vest in that existing Government Company either on the date of publication of the notification or on such earlier or later date (not being a date earlier than the appointed day) as may be specified in the notification.
(2) Where the right, title and interest of the Company in relation to its assets vest under sub-section (1) in an existing Government Company, on and from the date of such vesting,—
(a) that existing Government Company shall be deemed to have become, and shall be deemed to be, the owner in relation to such assets, and
(b) the rights and liabilities of the State Government in relation to such assets shall be deemed to have become, and shall be deemed to be, the rights and liabilities, respectively, of that existing Government Company.
(3) Notwithstanding anything contained in the foregoing provisions of this section or elsewhere in this Act, the State Government may utilise the assets of the Company in such manner and for such purpose as it may deem fit, if it is satisfied that such utilisation of the assets of the Company shall increase the production facilities of the Company and shall generate employment in the interest of the general public.
Power of State Government to direct vesting of the assets of the Company in an existing Government Company.