The National Institutes of Design Act, 2014
Administered Ministry: Ministry of Commerce and Industry / Department of Promotion of Industry and Internal Trade
Section
Section 21 Powers and duties of other authorities and officers.
The powers and duties of authorities and officers, other than those hereinbefore mentioned, shall be determined by the Statutes.
Section 22 Grants by Central Government.
For the purpose of 1[enabling an Institute] to discharge its functions efficiently under this Act, the Central Government may, after due appropriation made by Parliament by law in this behalf, pay to the Institute in each financial year such sums of money and in such manner as it may think fit.
1. Subs. by s. 18, ibid., for "enabling the Institute" (w.e.f. 13-1-2020).
Section 23 Fund of Institute.
(1) 1[Every Institute] shall maintain a Fund to which shall be credited--
(a) all moneys provided by the Central Government;
(b) all fees and other charges received by the Institute;
(c) all moneys received by the Institute by way of grants, gifts, donations, benefactions, bequests or transfers; and
(d) all moneys received by the Institute in any other manner or from any other source.
(2) All moneys credited to the Fund shall be deposited in such banks or invested in such manner as the Institute may, with the approval of the Central Government, decide.
(3) The Fund shall be applied towards meeting the expenses of the Institute including expenses incurred in the exercise of its powers and discharge of its duties under this Act.
(a) all moneys provided by the Central Government;
(b) all fees and other charges received by the Institute;
(c) all moneys received by the Institute by way of grants, gifts, donations, benefactions, bequests or transfers; and
(d) all moneys received by the Institute in any other manner or from any other source.
(2) All moneys credited to the Fund shall be deposited in such banks or invested in such manner as the Institute may, with the approval of the Central Government, decide.
(3) The Fund shall be applied towards meeting the expenses of the Institute including expenses incurred in the exercise of its powers and discharge of its duties under this Act.
1. Subs. by s. 19, ibid., for "The Institute" (w.e.f. 13-1-2020).
Section 24 Setting up of Endowment Fund.
Notwithstanding anything contained in section 23, the Central Government may direct 1[any Institute] to--
(a) set up an Endowment Fund and any other Fund for specified purpose; and
(b) transfer money from its Fund to Endowment Fund or any other Fund.
(a) set up an Endowment Fund and any other Fund for specified purpose; and
(b) transfer money from its Fund to Endowment Fund or any other Fund.
1. Subs. by s. 20, ibid., for "the Institute" (w.e.f. 13-1-2020).
Section 25 Accounts and audit.
(1) 1[Every Institute] shall maintain proper accounts and other relevant records and prepare an annual statement of accounts, including the balance sheet, in such form as may be prescribed, in accordance with such general directions as may be issued by the Central Government in consultation with the Comptroller and Auditor-General of India.
(2) The accounts of the Institute shall be audited by the Comptroller and Auditor-General of India and any expenditure incurred by him in connection with such audit shall be payable by the Institute to the Comptroller and Auditor-General of India.
(3) The Comptroller and Auditor-General of India and any person appointed by him in connection with the audit of the accounts of the Institute shall have the same rights, privileges and authority in connection with such audit as the Comptroller and Auditor-General of India, generally has in connection with the audit of the 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 Institute.
(4) The accounts of the Institute 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.
(2) The accounts of the Institute shall be audited by the Comptroller and Auditor-General of India and any expenditure incurred by him in connection with such audit shall be payable by the Institute to the Comptroller and Auditor-General of India.
(3) The Comptroller and Auditor-General of India and any person appointed by him in connection with the audit of the accounts of the Institute shall have the same rights, privileges and authority in connection with such audit as the Comptroller and Auditor-General of India, generally has in connection with the audit of the 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 Institute.
(4) The accounts of the Institute 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.
1. Subs. by s. 21, ibid., for "The Institute" (w.e.f. 13-1-2020).
Section 26 Pension and provident fund.
(1) 1[Every Institute] shall constitute, for the benefit of its employees, including the Director, such pension, insurance and provident funds as it may deem fit, in such manner and subject to such conditions as may be laid down in the Statutes.
(2) Where any provident fund has been constituted under sub-section (1), the Central Government may declare that the provisions of the Provident Funds Act, 1925 (19 of 1925) shall apply to such fund as if it were a Government provident fund.
(2) Where any provident fund has been constituted under sub-section (1), the Central Government may declare that the provisions of the Provident Funds Act, 1925 (19 of 1925) shall apply to such fund as if it were a Government provident fund.
1. Subs. by Act 38 of 2019, s. 22, for "The Institute" (w.e.f. 13-1-2020).
Section 27 Appointment of staff.
All appointments of the staff of 1[an Institute], except that of the Director, shall be made in accordance with the procedure laid down in the Statutes by--
(a) the Governing Council, if the appointment is made on the academic staff in the post of 2[Principal Designer] or Professor or above or if the appointment is made on the non-academic staff in any cadre, the maximum of the pay-scale for which is the same or higher than that of 2[Principal Designer] or Professor; and
(b) the Director, in any other case.
(a) the Governing Council, if the appointment is made on the academic staff in the post of 2[Principal Designer] or Professor or above or if the appointment is made on the non-academic staff in any cadre, the maximum of the pay-scale for which is the same or higher than that of 2[Principal Designer] or Professor; and
(b) the Director, in any other case.
1. Subs. by s. 23, ibid., for "the Institute" (w.e.f. 13-1-2020).
2. Subs. by s. 23, ibid., for "Senior Designer" (w.e.f. 13-1-2020).
2. Subs. by s. 23, ibid., for "Senior Designer" (w.e.f. 13-1-2020).
Section 28 Statutes. 1 docs
Subject to the provisions of this Act, the Statutes may provide for all or any of the following matters, namely:––
(a) conferment of honorary degrees;
(b) formation of departments of teaching, establishment of workshops, laboratories and studios;
(c) fees to be charged for courses of study in the Institute including Institute campus and for admission to the examinations of degrees, diplomas and certificates of the Institute;
(d) institution of fellowships, scholarships, exhibitions, medals and prizes;
(e) qualifications of teachers of the Institute;
(f) classification, method of appointment and the determination of the terms and conditions of service of officers, teachers and other staff of the Institute;
(g) reservation of posts for the Scheduled Castes, the Scheduled Tribes and Other Backward Classes of persons as may be determined by the Central Government;
(h) constitution of pension, insurance and provident funds for the benefit of the officers, teachers and other staff of the Institute;
(i) constitution, powers and duties of the authorities of the Institute and Institute campuses;
(j) establishment and maintenance of halls and hostels;
(k) conditions of residence of students of the Institute and the levying of the fees for residence in the halls and hostels and other charges;
(l) manner of filling up of vacancies among members of the Governing Council;
(m) allowances to be paid to the Chairperson and members of the Governing Council;
(n) authentication of the orders and decisions of the Governing Council;
(o) meetings of the Governing Council, Senate, or any Committee, the quorum at such meetings and the procedure to be followed in the conduct of their business;
(p) any other matter which by this Act is to be or may be prescribed by the Statutes.
(a) conferment of honorary degrees;
(b) formation of departments of teaching, establishment of workshops, laboratories and studios;
(c) fees to be charged for courses of study in the Institute including Institute campus and for admission to the examinations of degrees, diplomas and certificates of the Institute;
(d) institution of fellowships, scholarships, exhibitions, medals and prizes;
(e) qualifications of teachers of the Institute;
(f) classification, method of appointment and the determination of the terms and conditions of service of officers, teachers and other staff of the Institute;
(g) reservation of posts for the Scheduled Castes, the Scheduled Tribes and Other Backward Classes of persons as may be determined by the Central Government;
(h) constitution of pension, insurance and provident funds for the benefit of the officers, teachers and other staff of the Institute;
(i) constitution, powers and duties of the authorities of the Institute and Institute campuses;
(j) establishment and maintenance of halls and hostels;
(k) conditions of residence of students of the Institute and the levying of the fees for residence in the halls and hostels and other charges;
(l) manner of filling up of vacancies among members of the Governing Council;
(m) allowances to be paid to the Chairperson and members of the Governing Council;
(n) authentication of the orders and decisions of the Governing Council;
(o) meetings of the Governing Council, Senate, or any Committee, the quorum at such meetings and the procedure to be followed in the conduct of their business;
(p) any other matter which by this Act is to be or may be prescribed by the Statutes.
Section 29 Statutes how to be made.
(1) The first Statutes of 1[each Institute] shall be framed by the Governing Council with the previous approval of the Visitor and a copy of the same shall be laid as soon as may be before each House of Parliament.
(2) The Governing Council may, from time to time, make new or additional Statutes or may amend or repeal the Statutes in the manner hereinafter in this section provided.
(3) Every new Statute or addition to the Statutes or any amendment or repeal of a Statute shall require the previous approval of the Visitor who may assent thereto or withhold assent therefrom or remit it to the Governing Council for reconsideration.
(4) A new Statute or a Statute amending or repealing an existing Statute shall have no validity unless it has been assented to by the Visitor.
(2) The Governing Council may, from time to time, make new or additional Statutes or may amend or repeal the Statutes in the manner hereinafter in this section provided.
(3) Every new Statute or addition to the Statutes or any amendment or repeal of a Statute shall require the previous approval of the Visitor who may assent thereto or withhold assent therefrom or remit it to the Governing Council for reconsideration.
(4) A new Statute or a Statute amending or repealing an existing Statute shall have no validity unless it has been assented to by the Visitor.
1. Subs. by Act 38 of 2019, s. 24, for "the Institute" (w.e.f. 13-1-2020).
Section 30 Ordinances. 2 docs
Subject to the provisions of this Act and the Statutes, the 1[Ordinances of each Institute] may provide for all or any of the following matters, namely:--
(a) admission of the students to the Institute including Institute campus;
(b) reservation in admission to various courses or programmes of the Institute for the Scheduled Castes, the Scheduled Tribes and Other Backward Classes;
(c) courses of study to be laid down for all degrees, diplomas and certificates of the Institute;
(d) conditions under which students shall be admitted to the degree, diploma and certificate courses and to the examinations of the Institute and award of degrees, diplomas and certificates;
(e) conditions for award of fellowships, scholarships, exhibitions, medals and prizes;
(f) conditions and mode of appointment and duties of examining body, examiners and moderators;
(g) conduct of examinations;
(h) maintenance of discipline among the students of the Institute; and
(i) any other matter which by this Act or the Statutes is to be or may be provided for by the Ordinances.
(a) admission of the students to the Institute including Institute campus;
(b) reservation in admission to various courses or programmes of the Institute for the Scheduled Castes, the Scheduled Tribes and Other Backward Classes;
(c) courses of study to be laid down for all degrees, diplomas and certificates of the Institute;
(d) conditions under which students shall be admitted to the degree, diploma and certificate courses and to the examinations of the Institute and award of degrees, diplomas and certificates;
(e) conditions for award of fellowships, scholarships, exhibitions, medals and prizes;
(f) conditions and mode of appointment and duties of examining body, examiners and moderators;
(g) conduct of examinations;
(h) maintenance of discipline among the students of the Institute; and
(i) any other matter which by this Act or the Statutes is to be or may be provided for by the Ordinances.
1. Subs. by s. 25, ibid., for "Ordinances of the Institute" (w.e.f. 13-1-2020).
Section 31 Ordinances how to be made.
(1) Save as otherwise provided in this section, Ordinances shall be made by the Senate.
(2) All Ordinances made by the Senate shall have effect from such date as it may direct, but every Ordinance so made shall be submitted, as soon as may be, to the Governing Council and shall be considered by the Governing Council at its next meeting.
(3) The Governing Council shall have power by resolution to modify or cancel any such Ordinance and such Ordinance shall from the date of such resolution stand modified accordingly or cancelled, as the case may be.
(2) All Ordinances made by the Senate shall have effect from such date as it may direct, but every Ordinance so made shall be submitted, as soon as may be, to the Governing Council and shall be considered by the Governing Council at its next meeting.
(3) The Governing Council shall have power by resolution to modify or cancel any such Ordinance and such Ordinance shall from the date of such resolution stand modified accordingly or cancelled, as the case may be.
Section 32 Arbitral Tribunal.
(1) Any dispute arising out of a contract 1[between an Institute] and any of its employees shall, at the request of the employee concerned or at the instance of the Institute, be referred to an Arbitral Tribunal consisting of one member appointed by the Institute, one member nominated by the employee and an umpire appointed by the Visitor.
(2) The decision of the Arbitral Tribunal shall be final and shall not be questioned in any court.
(3) No suit or proceeding shall lie in any court in respect of any matter which is required by subsection (1) to be referred to the Arbitral Tribunal.
(4) The Arbitral Tribunal shall have power to regulate its own procedure.
(5) Nothing in any law for the time being in force relating to arbitration shall apply to arbitration under this section.
(2) The decision of the Arbitral Tribunal shall be final and shall not be questioned in any court.
(3) No suit or proceeding shall lie in any court in respect of any matter which is required by subsection (1) to be referred to the Arbitral Tribunal.
(4) The Arbitral Tribunal shall have power to regulate its own procedure.
(5) Nothing in any law for the time being in force relating to arbitration shall apply to arbitration under this section.
1. Subs. by s. 26, ibid., for "between the Institute" (w.e.f. 13-1-2020).
Section 33 Acts and proceedings not to be invalidated by vacancies, etc.
No act of 1[any Institute] or Governing Council or Senate or any other authority, set up under this Act or the Statutes, shall be invalid merely by reason of--
(a) any vacancy in, or defect in the constitution thereof; or
(b) any defect in the election, nomination or appointment of a person acting as a member thereof; or
(c) any irregularity in its procedure not affecting the merits of the case.
(a) any vacancy in, or defect in the constitution thereof; or
(b) any defect in the election, nomination or appointment of a person acting as a member thereof; or
(c) any irregularity in its procedure not affecting the merits of the case.
1. Subs. by Act 38 of 2019, s. 27, for "the Institute" (w.e.f. 13-1-2020).
Section 34 Sponsored schemes.
Notwithstanding anything contained in this Act, whenever 1[an Institute receives] funds from any Government, the University Grants Commission or any other agency including industry sponsoring a research scheme or a consultancy assignment or a teaching programme or a Chaired Professorship or a scholarship, etc., to be executed or endowed at the Institute,--
(a) the amount received shall be kept by the Institute separately from the Fund of the Institute and utilised only for that purpose; and
(b) the staff required to execute the same shall be recruited in accordance with the terms and conditions stipulated by the sponsoring organisations:
Provided that any money remaining unutilised shall be transferred to the Endowment Fund set up under section 24 of this Act.
(a) the amount received shall be kept by the Institute separately from the Fund of the Institute and utilised only for that purpose; and
(b) the staff required to execute the same shall be recruited in accordance with the terms and conditions stipulated by the sponsoring organisations:
Provided that any money remaining unutilised shall be transferred to the Endowment Fund set up under section 24 of this Act.
1. Subs. by s. 28, ibid., for "the Institute receives" (w.e.f. 13-1-2020).
Section 35 Power of Institute to grant degrees, etc.
1[Every Institute] shall have the power to grant degrees, diplomas, certificates and other academic distinctions under this Act, which shall be equivalent to such corresponding degrees, diplomas, certificates and other academic distinctions granted by any University or Institute established or incorporated under any other law for the time being in force.
1. Subs. by s. 29, ibid., for "The Institute" (w.e.f. 13-1-2020).
Section 36 Powers of Central Government to issue directions.
The Central Government may give such directions as it may deem necessary 1[to any Institute] for effective administration of this Act and the Institute shall comply with such directions.
1.Subs. by s. 30, ibid., for "to the Institute" (w.e.f. 13-1-2020).
Section 37 Institute to be public authority under Right to Information Act, 2005.
The provisions of the Right to Information Act, 2005 (22 of 2005) shall apply to 1[every Institute], as if it were a public authority as defined in clause (h) of section 2 of the Right to Information Act, 2005.
1. Subs. by s. 31, ibid., for "the Institute" (w.e.f. 13-1-2020).
Section 38 Power of Central Government to make rules. 2 docs
(1) The Central Government may, by notification, make rules to carry out the purposes 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 manner of appointment of the Director and terms and conditions of his service under subsection (1) of section 18;
(b) the form and the manner in which the books of account of the Institute shall be maintained under sub-section (1) of section 25;
(c) any other matter which is required to be, or may be, prescribed.
(3) Every rule made by the Central Government 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 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.
(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 manner of appointment of the Director and terms and conditions of his service under subsection (1) of section 18;
(b) the form and the manner in which the books of account of the Institute shall be maintained under sub-section (1) of section 25;
(c) any other matter which is required to be, or may be, prescribed.
(3) Every rule made by the Central Government 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 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.
Section 39 Transitional provisions.
Notwithstanding anything contained in this Act--
(a) the 1[Governing Council of an Institute] functioning as such, immediately before the commencement of this Act, shall continue to so function until a new Governing Council is constituted for the Institute under this Act, but on the constitution of a new Governing Council under this Act, the members of the Governing Council holding office before such constitution shall cease to hold office;
(b) the Policy and Planning Committee of the Society, functioning as such before the commencement of this Act, shall be deemed to be the Senate constituted under this Act and continue to so function until a new Senate is constituted for the Institute under this Act;
(c) until the first Statutes and Ordinances are made under this Act, the rules and regulations, instructions, guidelines and bye-laws of the Society, in force immediately before the commencement of this Act, shall continue to apply to the Institute and Institute campuses 2***, in so far as they are not inconsistent with the provisions of this Act.
3[ExplanationI.The reference in this section to the commencement of this Act shall, in relation to the National Institute of Design, Ahmedabad, be deemed to be the 16th day of September, 2014.
Explanation II.The reference in this section to the commencement of this Act shall, in relation to the National Institutes of Design in the States of Madhya Pradesh, Assam, Haryana and Andhra Pradesh, be construed as the reference to the date on which the provisions of the National Institute of Design (Amendment) Act, 2019 comes into force.]
(a) the 1[Governing Council of an Institute] functioning as such, immediately before the commencement of this Act, shall continue to so function until a new Governing Council is constituted for the Institute under this Act, but on the constitution of a new Governing Council under this Act, the members of the Governing Council holding office before such constitution shall cease to hold office;
(b) the Policy and Planning Committee of the Society, functioning as such before the commencement of this Act, shall be deemed to be the Senate constituted under this Act and continue to so function until a new Senate is constituted for the Institute under this Act;
(c) until the first Statutes and Ordinances are made under this Act, the rules and regulations, instructions, guidelines and bye-laws of the Society, in force immediately before the commencement of this Act, shall continue to apply to the Institute and Institute campuses 2***, in so far as they are not inconsistent with the provisions of this Act.
3[ExplanationI.The reference in this section to the commencement of this Act shall, in relation to the National Institute of Design, Ahmedabad, be deemed to be the 16th day of September, 2014.
Explanation II.The reference in this section to the commencement of this Act shall, in relation to the National Institutes of Design in the States of Madhya Pradesh, Assam, Haryana and Andhra Pradesh, be construed as the reference to the date on which the provisions of the National Institute of Design (Amendment) Act, 2019 comes into force.]
1. Subs. by Act 38 of 2019, s. 32, for "Governing Council of the Institute" (w.e.f. 13-1-2020).
2. The words "located at Bengaluru or Gandhinagar, as the case may be" omitted by s. 32, ibid. (w.e.f. 13-1-2020).
3. Ins. by Act 38 of 2019, s. 33 (w.e.f. 13-1-2020).
2. The words "located at Bengaluru or Gandhinagar, as the case may be" omitted by s. 32, ibid. (w.e.f. 13-1-2020).
3. Ins. by Act 38 of 2019, s. 33 (w.e.f. 13-1-2020).
Section 40 Statutes and Ordinances to be published in the Official Gazette and to be laid before Parliament.
(1) Every Statute or Ordinance made under this Act shall be published in the Official Gazette.
(2) Every Statute or Ordinance 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 Statute or Ordinance or both Houses agree that the Statute or Ordinance should not be made, the Statute or Ordinance 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 Statute or Ordinance.
(3) The power to make Statutes or Ordinances shall include the power to give retrospective effect from a date not earlier than the date of commencement of this Act to Statutes or Ordinances or any of them but no retrospective effect shall be given to any Statute or Ordinance so as to prejudicially affect the interests of any person to whom such Statutes or Ordinances may be applicable.
1[Explanation I.--The reference in this section to the commencement of this Act shall, in relation to the National Institute of Design, Ahmedabad, be deemed to be the 16th day of September, 2014.
Explanation II.--The reference in this section to the commencement of this Act shall, in relation to the National Institutes of Design in the States of Madhya Pradesh, Assam, Haryana and Andhra Pradesh, be construed as the reference to the date on which the provisions of the National Institute of Design (Amendment) Act, 2019 comes into force.]
(2) Every Statute or Ordinance 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 Statute or Ordinance or both Houses agree that the Statute or Ordinance should not be made, the Statute or Ordinance 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 Statute or Ordinance.
(3) The power to make Statutes or Ordinances shall include the power to give retrospective effect from a date not earlier than the date of commencement of this Act to Statutes or Ordinances or any of them but no retrospective effect shall be given to any Statute or Ordinance so as to prejudicially affect the interests of any person to whom such Statutes or Ordinances may be applicable.
1[Explanation I.--The reference in this section to the commencement of this Act shall, in relation to the National Institute of Design, Ahmedabad, be deemed to be the 16th day of September, 2014.
Explanation II.--The reference in this section to the commencement of this Act shall, in relation to the National Institutes of Design in the States of Madhya Pradesh, Assam, Haryana and Andhra Pradesh, be construed as the reference to the date on which the provisions of the National Institute of Design (Amendment) Act, 2019 comes into force.]
1. Ins. by Act 38 of 2019, s. 33 (w.e.f. 13-1-2020).