Coir Industry Act, 1953- Sections 16 to 27

16. Borrowing powers of Board.

16. Borrowing powers of Board.—Subject of such rules as may be made in this behalf, the Board shall have power to borrow on the security of the Fund or any other asset for any purposes for which the Fund may be applied.

17. Accounts and audit.

[i][17. Accounts and audit.—(1) The Board shall maintain proper accounts and other relevant records and prepare an annual statement of accounts, including the profit and loss account and the balance-sheet in such form as may be prescribed by the Central Government in consultation with the Comptroller and Auditor-General of India.

(2) The accounts of the Board shall be audited by the Comptroller and Auditor-General of India at such intervals as may be prescribed by him and any expenditure incurred in connection with such audit shall be payable by the Board to the Comptroller and Auditor-General.

(3) The Comptroller and Auditor-General of India and any person appointed by him in connection with the audit of the accounts of the Board shall have the same rights and privileges and authority in connection with such audit as the Comptroller and Auditor-General has in connection with the audit of Government accounts, and in particular, shall have the right to demand the production of books, accounts, connected vouchers and other documents and papers and to inspect any of the offices of the Board.

(4) The accounts of the Board as certified by the Comptroller and Auditor-General of India or any other person appointed by him in this behalf together with the audit report thereon shall be forwarded annually to the Central Government and that Government shall cause the same to be laid before each House of Parliament.]

Chapter V

CONTROL BY THE CENTRAL GOVERNMENT

18. General control over acts and proceedings of the Board.

18. General control over acts and proceedings of the Board.—(1) All acts and proceedings of the Board shall be subject to the control of the Central Government which may cancel, suspend or modify as it thinks fit any action taken by the Board.

(2) The Board shall carry out such directions as may be issued to it by the Central Government for the efficient administration of this Act.

(3) The records of the Board shall be open to inspection at all reasonable times by any officer authorised in this behalf by the Central Government.

19. Report and returns.

19. Report and returns.—[ii][(1) The Board shall submit to the Central Government and such other authority, as may be prescribed, an annual report on its activities and the working of this Act for the preceding year; and a copy of every such, report shall, as soon as may be after it is received by the Central Government, be laid before each House of Parliament.]

Chapter VI

MISCELLANEOUS

20. Penalties.

20. Penalties.—(1) If any person contravenes the provisions of Section 12, he shall be punishable with fine which may extend to five hundred rupees.

(2) Any person who attempts to contravene or abets the contravention of the provisions of Section 12 shall be deemed to have contravened those provisions.

21. Offences by companies.

21. Offences by companies.—(1) If the person committing an offence under Section 12 is a company, every person who at the time the contravention was committed was incharge of and was responsible to, the company for the conduct of the business of the company, as well as the company shall be deemed to be guilty of the contravention and shall be liable to be proceeded against and punished accordingly:

Provided that nothing contained in this sub-section shall render any such person liable to any punishment, if he proves that the offence was committed without his knowledge or that he exercised all due diligence to prevent the commission of such offence.

(2) Notwithstanding anything contained in sub-section (1) where an offence under Section 12 has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or is attributable to any neglect on the part of, any director, manager, secretary or other officer of the company, such director, manager, secretary or other officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

Explanation.—For the purpose of this section—

(a) ‘company’ means any body corporate and included a firm or other association of individuals; and

(b) ‘director’ in relation to a firm means a partner in the firm.

22. Previous sanction of Central Government for prosecution.

22. Previous sanction of Central Government for prosecution.—No prosecution for any offence punishable under this Act shall be instituted except with the previous approval of the Central Government.

23. Protection of action taken in good faith.

23. Protection of action taken in good faith.—No suit, prosecution or other legal proceeding shall lie against any person for anything in good faith done or intended to be done under this Act or the rules made thereunder.

24. Power to delegate.

24. Power to delegate.—The Central Government may, by order notified in the Official Gazette, direct that any power exercisable by it under this Act may also be exercised in such cases and subject to such conditions, if any, as may be specified in the order by such officer or authority as may be specified therein.

25. Suspension of operation of Act.

25. Suspension of operation of Act.—(1) If the Central Government is satisfied that circumstances have arisen rendering it necessary that certain of the restrictions imposed by this Act should cease to be imposed or if it considers it necessary or expedient so to do in the public interest the Central Government may, by notification in the Official Gazette, suspend or relax to a specified extent either indefinitely or for such period as may be specified in the notification the operation of all or any of the provisions of this Act.

(2) Where the operation of any provisions of this Act has under sub-section (1) been suspended or relaxed indefinitely, such suspension or relaxation may at any time while this Act remains in force be removed by the Central Government by notification in the Official Gazette.

26. Power of Central Government to make rules.

26. Power of Central Government to make rules.—(1) The Central Government may, subject to the condition of previous publication, make rules for carrying out the purpose of this Act.

(2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters namely :—

(a) the constitution of the Board, the number of persons to be appointed as members from each of the categories specified in sub-section (3) of Section 4, the term of office and the other conditions of service of, the procedure to be followed by, and the manner of filling vacancies among, the members of the Board;

(b) the circumstances in which, and the authority by which, members may be removed;

(c) the holding of a minimum number of meetings every year;

(d) the pay and allowances and other conditions of service of the Secretary;

(e) the maintenance of records of all business transacted at meetings of the Board and the submission of copies of such records to the Central Government;

(f) the preparation of budget estimate of the receipts and expenditure of the Board and the authority by which such estimates should be sanctioned;

(g) the conditions subject to which, and the mode in which, contracts may be made by or on behalf of the Board;

(h) the powers of the Board and the executive committee and the Chairman, in regard to the incurring of expenditure; and the re-appropriation of estimated savings in any budget head to another such head;

(i) the conditions subject to which the Board may borrow;

(j) the form and the manner in which accounts should be kept by the Board;

(k) the registration of coir spindles and looms for the manufacture of coir products as also the registration of manufacturers of coir products and the conditions for such registration; the grant or issue of licences under this Act; the fees to be levied in respect of such registration and licences; and the suspension and cancellation of such registration and licences;

(l) the form of applications for registration and licences under this Act and the fee, if any, to be paid in respect of any such applications;

(m) the collection of any information or statistics in respect of the coir industry;

(n) any other matter which is to be or may be prescribed.

[iii][(3) Every rule made by the Central Government under this section shall be laid as soon as may be after it is made before each House of Parliament while it is in session for a total period of thirty days which may be comprised in one session or in two or more successive sessions, and if, [iv][before the expiry of the session immediately following the session or the successive sessions aforesaid] both Houses agree in making any modification in the rule or both Houses agree that the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule.]

27. Power of Board to make by-laws.

27. Power of Board to make by-laws.—(1) The Board may make by-laws consistent with this Act and the rules made thereunder, to provide for —

(a) the dates, times and places of its meetings and of the meetings of the Executive and other Committees and the quorum for such meetings, and procedure thereat;

(b) the delegation of powers and duties to the Executive or any other Committee, or to its Chairman, Vice-Chairman, Secretary or any other of its officers;

(c) the travelling allowances of members and of members of Committee;

(d) the appointment, promotion and dismissal of its officers and other employees other than the Secretary and the creation and abolition of their posts;

(e) the conditions of service of its officers and other employees other than the Secretary including their pay, leave, leave allowances, pensions, gratuities, compassionate allowances and travelling allowances and the establishment and maintenance of a provident fund for them;

(f) the maintenance of its accounts;

(g) the persons by whom, and the manner in which payment deposits and investments may be made on its behalf.

(h) the custody of moneys required for its current expenditure and the investment of moneys not so required.

(i) the preparation of statements showing the sums allotted to departments of the Central and State Governments and other institutions.

(2) No by-law shall take effect until it has been confirmed by the Central Government and published in the Official Gazette; and the Central Government, in confirming a by-law may make any change therein which appears to it to be necessary.

(3) The Central Government may, by notification in the Official Gazette, cancel any by-law which it has confirmed and thereupon the by-law shall cease to have effect.

[v][(4) Every by-law made under this Act shall be laid, as soon as may be after it is made, before each House of Parliament, while it is in session, for a total period of thirty days which may be comprised in one session or in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modification in the by-law or both Houses agree that the by-law should not be made, the by-law shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that by-law.]

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