The Spices Board Act, 1986
Administered Ministry: Ministry of Commerce and Industry / Department of Commerce
Section
Section 1 Short title, extent and commencement.
(1) This Act may be called the Spices Board Act, 1986.
(2) It extends to the whole of India.
(3) It shall come into force on such date 1 as the Central Government may, by notification in the Official Gazette, appoint.
(2) It extends to the whole of India.
(3) It shall come into force on such date 1 as the Central Government may, by notification in the Official Gazette, appoint.
1 . 26th February, 1987, vide Notification No. S.O. 122(E), dated 26th February, 1987, see Gazette of India, Extraordinary, Part II, sec. 3(ii).
Section 2 Definitions. 1 docs
In this Act, unless the context otherwise requires,--
(a) "Board" means the Spices Board constituted under sub-section (1) of section 3;
(b) "cardamom" means the fruit of cardamom plant and includes green cardamom, bleached cardamom, bleachable white cardamom, sun-dried cardamom, cardamom seeds, powdered cardamom and oil extracted from cardamom;
(c) "cardamom plant" means ELETTARIA CARDAMOMUM MATON, AMMOMUM SUBULATUM ROXB and any other plant which the Board may, by notification in the Official Gazette, declare to be a cardamom plant for the purposes of this Act;
(d) "certificate" means a certificate granted under section 12;
(e) "dealer" means a dealer in spices;
(f) "estate" means the area administered as one unit which contains land planted with cardamom plants;
(g) 'export" and "import" mean, respectively, taking out of or bringing into India by land, sea and air;
(h) "manufacturer" means a manufacturer of spices;
(i) "member" means a member of the Board appointed under sub-section (3) of section 3;
(j) "owner", in relation to any land planted with cardamom plants, includes--
(i) any agent of the owner; and
(ii) a mortgagee, lessee or other person in actual possession of the land;
(k) "prescribed" means prescribed by rules made under this Act;
(l) "registered estate" means an estate in respect of which an owner is registered under sub-section (1) of section 8 and includes any estate in respect of which an owner is required to be registered under the provisions of that sub-section;
(m) "registered owner" means an owner of a registered estate which has been or is registered or is required to be registered under sub-section (1) of section 8; and
(n) "spices" means the spices specified in the Schedule:
Provided that the Central Government may, if satisfied that it is necessary or expedient in the public interest so to do, by notification in the Official Gazette, add any other spice to the Schedule or omit any spice therefrom.
(a) "Board" means the Spices Board constituted under sub-section (1) of section 3;
(b) "cardamom" means the fruit of cardamom plant and includes green cardamom, bleached cardamom, bleachable white cardamom, sun-dried cardamom, cardamom seeds, powdered cardamom and oil extracted from cardamom;
(c) "cardamom plant" means ELETTARIA CARDAMOMUM MATON, AMMOMUM SUBULATUM ROXB and any other plant which the Board may, by notification in the Official Gazette, declare to be a cardamom plant for the purposes of this Act;
(d) "certificate" means a certificate granted under section 12;
(e) "dealer" means a dealer in spices;
(f) "estate" means the area administered as one unit which contains land planted with cardamom plants;
(g) 'export" and "import" mean, respectively, taking out of or bringing into India by land, sea and air;
(h) "manufacturer" means a manufacturer of spices;
(i) "member" means a member of the Board appointed under sub-section (3) of section 3;
(j) "owner", in relation to any land planted with cardamom plants, includes--
(i) any agent of the owner; and
(ii) a mortgagee, lessee or other person in actual possession of the land;
(k) "prescribed" means prescribed by rules made under this Act;
(l) "registered estate" means an estate in respect of which an owner is registered under sub-section (1) of section 8 and includes any estate in respect of which an owner is required to be registered under the provisions of that sub-section;
(m) "registered owner" means an owner of a registered estate which has been or is registered or is required to be registered under sub-section (1) of section 8; and
(n) "spices" means the spices specified in the Schedule:
Provided that the Central Government may, if satisfied that it is necessary or expedient in the public interest so to do, by notification in the Official Gazette, add any other spice to the Schedule or omit any spice therefrom.
Section 3 Constitution and incorporation of the Board. 6 docs
(1) The Central Government shall, by notification in the Official Gazette, constitute, for the purposes of this Act, a Board, to be called the Spices Board.
(2) The Board shall be a body corporate by the name aforesaid having perpetual succession and a common seal with power, subject to the provisions of this Act, to contract and shall, by the said name, sue and be sued.
(3) The Board shall consist of such number of members, not exceeding thirty-two, as may be prescribed, and unless the rules made in this behalf otherwise provide, the Board shall consist of the following members, namely:--
(a) a Chairman;
(b) three Members of Parliament, of whom two shall be elected by the House of the People and one by the Council of States;
(c) three members to represent respectively the Ministries of the Central Government dealing with--
(i) Commerce;
(ii) Agriculture; and
(iii) Finance;
(d) six members to represent the growers of spices;
(e) eleven members to represent the exporters of spices;
(f) three members to represent major spice producing States;
(g) five members, one each to represent--
(i) the Directorate of Cocoa, Arecanut and Spices Development, Calicut;
(ii) the Indian Institute of Packaging, Bombay;
(iii) the Central Food Technological and Research Institute, Mysore;
(iv) the Regional Research Laboratory, Trivandrum; and
(v) the Central Plantation Crops Research Institute, Kasargode.
(4) The office of member of the Board shall not disqualify its holder for being chosen as, or for being, a member of either House of Parliament.
(5) The term of office of the members and other conditions of service of the members shall be such as may be prescribed.
(6) The Chairman shall, in addition to presiding over the meetings of the Board, exercise and discharge such powers and duties of the Board as may be delegated to him by the Board and such other powers and duties as may be prescribed.
(7) The Board shall elect from among its members a Vice-Chairman who shall exercise such of the powers and perform such of the functions of the Chairman as may be prescribed or as may be delegated to him by the Chairman.
(8) No act or proceeding of the Board shall be invalidated merely by reason of--
(a) any vacancy in, or any defect in the constitution of, the Board;
(b) any defect in the appointment of a person acting as a member of the Board;
(c) any irregularity in the procedure of the Board not affecting the merits of the case.
(2) The Board shall be a body corporate by the name aforesaid having perpetual succession and a common seal with power, subject to the provisions of this Act, to contract and shall, by the said name, sue and be sued.
(3) The Board shall consist of such number of members, not exceeding thirty-two, as may be prescribed, and unless the rules made in this behalf otherwise provide, the Board shall consist of the following members, namely:--
(a) a Chairman;
(b) three Members of Parliament, of whom two shall be elected by the House of the People and one by the Council of States;
(c) three members to represent respectively the Ministries of the Central Government dealing with--
(i) Commerce;
(ii) Agriculture; and
(iii) Finance;
(d) six members to represent the growers of spices;
(e) eleven members to represent the exporters of spices;
(f) three members to represent major spice producing States;
(g) five members, one each to represent--
(i) the Directorate of Cocoa, Arecanut and Spices Development, Calicut;
(ii) the Indian Institute of Packaging, Bombay;
(iii) the Central Food Technological and Research Institute, Mysore;
(iv) the Regional Research Laboratory, Trivandrum; and
(v) the Central Plantation Crops Research Institute, Kasargode.
(4) The office of member of the Board shall not disqualify its holder for being chosen as, or for being, a member of either House of Parliament.
(5) The term of office of the members and other conditions of service of the members shall be such as may be prescribed.
(6) The Chairman shall, in addition to presiding over the meetings of the Board, exercise and discharge such powers and duties of the Board as may be delegated to him by the Board and such other powers and duties as may be prescribed.
(7) The Board shall elect from among its members a Vice-Chairman who shall exercise such of the powers and perform such of the functions of the Chairman as may be prescribed or as may be delegated to him by the Chairman.
(8) No act or proceeding of the Board shall be invalidated merely by reason of--
(a) any vacancy in, or any defect in the constitution of, the Board;
(b) any defect in the appointment of a person acting as a member of the Board;
(c) any irregularity in the procedure of the Board not affecting the merits of the case.
Section 4 Secretary and other officers. 4 docs
(1) The Board may appoint the Secretary and such other officers and employees as it considers necessary for the efficient discharge of its functions under this Act.
(2) The terms and conditions of service of the Secretary and other officers and employees of the Board shall be such as may be determined by regulations.
(2) The terms and conditions of service of the Secretary and other officers and employees of the Board shall be such as may be determined by regulations.
Section 5 Advisory Committees. 4 docs
(1) Subject to any rules made in this behalf, the Board may, from time to time, constitute such committees as may be necessary for the efficient discharge of its functions.
(2) Every committee constituted under sub-section (1) shall consist of such number of persons as the Board may deem fit.
(2) Every committee constituted under sub-section (1) shall consist of such number of persons as the Board may deem fit.
Section 6 Transfer of assets and liabilities of the Cardamom Board and the Spices Export Promotion Council to the Board. 1 docs
(1) On and from the commencement of this Act,--
(a) all properties and other assets vested in the Cardamom Board and the Spices Export Promotion Council immediately before such commencement shall vest in the Board;
(b) all debts, obligations and liabilities incurred, all contracts entered into and all matters and things engaged to be done by, with, or for the Cardamom Board or the Spices Export Promotion Council immediately before such commencement for or in connection with the purposes of the Cardamom Board or the Spices Export Promotion Council shall be deemed to have been incurred, entered into and engaged to be done by, with, or for the Board;
(c) all sums of money due to the Cardamom Board or the Spices Export Promotion Council immediately before such commencement shall be deemed to be due to the Board;
(d) all suits and other legal proceedings instituted or which could have been instituted by or against the Cardamom Board or the Spices Export Promotion Council immediately before such commencement may be continued or instituted by or against the Board; and
(e) every employee holding any office under the Cardamom Board or the Spices Export Promotion Council immediately before such commencement shall on such commencement hold his office or service under the Board with the same rights and privileges as to pension, gratuity and other matters as would have been admissible to him if there had been no such vesting; and shall continue to do so unless and until his employment under the Board is duly terminated or until his remuneration and other conditions of service are duly altered by the Board.
(2) Notwithstanding anything contained in the Industrial Disputes Act, 1947 (14 of 1947) or in any other law for the time being in force, the absorption of any employee by the Board in its regular service under this section shall not entitle such employee to any compensation under that Act or other law and no such claim shall be entertained by any court, tribunal or other authority.
(a) all properties and other assets vested in the Cardamom Board and the Spices Export Promotion Council immediately before such commencement shall vest in the Board;
(b) all debts, obligations and liabilities incurred, all contracts entered into and all matters and things engaged to be done by, with, or for the Cardamom Board or the Spices Export Promotion Council immediately before such commencement for or in connection with the purposes of the Cardamom Board or the Spices Export Promotion Council shall be deemed to have been incurred, entered into and engaged to be done by, with, or for the Board;
(c) all sums of money due to the Cardamom Board or the Spices Export Promotion Council immediately before such commencement shall be deemed to be due to the Board;
(d) all suits and other legal proceedings instituted or which could have been instituted by or against the Cardamom Board or the Spices Export Promotion Council immediately before such commencement may be continued or instituted by or against the Board; and
(e) every employee holding any office under the Cardamom Board or the Spices Export Promotion Council immediately before such commencement shall on such commencement hold his office or service under the Board with the same rights and privileges as to pension, gratuity and other matters as would have been admissible to him if there had been no such vesting; and shall continue to do so unless and until his employment under the Board is duly terminated or until his remuneration and other conditions of service are duly altered by the Board.
(2) Notwithstanding anything contained in the Industrial Disputes Act, 1947 (14 of 1947) or in any other law for the time being in force, the absorption of any employee by the Board in its regular service under this section shall not entitle such employee to any compensation under that Act or other law and no such claim shall be entertained by any court, tribunal or other authority.
Section 7 Functions of the Board. 2 docs
(1) The Board may--
(i) develop, promote and regulate export of spices;
(ii) grant certificate for export of spices and register brokers therefor;
(iii) undertake programmes and projects for promotion of export of spices;
(iv) assist and encourage studies and research for improvement of processing, quality, techniques of grading and packaging of spices;
(v) strive towards stabilisation of prices of spices for export;
(vi) evolve suitable quality standards and introduce certification of quality through "Quality Marking" for spaces for export;
(vii) control quality of spices for export;
(viii) give licences, subject to such terms and conditions as may be prescribed, to the manufacturers of spices for export;
(ix) market any spice, if it considers necessary, in the interest of promotion of export;
(x) provide warehousing facilities abroad for spices;
(xi) collect statistics with regard to spices for compilation and publication;
(xii) import, with the previous approval of the Central Government, any spice for sale; and
(xiii) advise the Central Government on matters relating to import and export of spices.
(2) The Board may also--
(i) promote co-operative efforts among growers of cardamom;
(ii) ensure remunerative returns to growers of cardamom;
(iii) provide financial or other assistance for improved methods of cultivation and processing of cardamom, for replanting cardamom and for extension of cardamom growing areas;
(iv) regulate the sale of cardamom and stabilisation of prices of cardamom;
(v) provide training in cardamom testing and fixing grade standards of cardamom;
(vi) increase the consumption of cardamom and carry on propaganda for that purpose;
(vii) register and licence brokers (including auctioneers) of cardamom and persons engaged in the business of cardamom;
(viii) improve the marketing of cardamom;
(ix) collect statistics from growers, dealers and such other persons as may be prescribed on any matter relating to the cardamom industry; publish statistics so collected or portions thereof or extracts therefrom;
(x) secure better working conditions and the provision and improvement of amenities and incentives for workers; and
(xi) undertake, assist or encourage scientific, technological and economic research.
(i) develop, promote and regulate export of spices;
(ii) grant certificate for export of spices and register brokers therefor;
(iii) undertake programmes and projects for promotion of export of spices;
(iv) assist and encourage studies and research for improvement of processing, quality, techniques of grading and packaging of spices;
(v) strive towards stabilisation of prices of spices for export;
(vi) evolve suitable quality standards and introduce certification of quality through "Quality Marking" for spaces for export;
(vii) control quality of spices for export;
(viii) give licences, subject to such terms and conditions as may be prescribed, to the manufacturers of spices for export;
(ix) market any spice, if it considers necessary, in the interest of promotion of export;
(x) provide warehousing facilities abroad for spices;
(xi) collect statistics with regard to spices for compilation and publication;
(xii) import, with the previous approval of the Central Government, any spice for sale; and
(xiii) advise the Central Government on matters relating to import and export of spices.
(2) The Board may also--
(i) promote co-operative efforts among growers of cardamom;
(ii) ensure remunerative returns to growers of cardamom;
(iii) provide financial or other assistance for improved methods of cultivation and processing of cardamom, for replanting cardamom and for extension of cardamom growing areas;
(iv) regulate the sale of cardamom and stabilisation of prices of cardamom;
(v) provide training in cardamom testing and fixing grade standards of cardamom;
(vi) increase the consumption of cardamom and carry on propaganda for that purpose;
(vii) register and licence brokers (including auctioneers) of cardamom and persons engaged in the business of cardamom;
(viii) improve the marketing of cardamom;
(ix) collect statistics from growers, dealers and such other persons as may be prescribed on any matter relating to the cardamom industry; publish statistics so collected or portions thereof or extracts therefrom;
(x) secure better working conditions and the provision and improvement of amenities and incentives for workers; and
(xi) undertake, assist or encourage scientific, technological and economic research.
Section 8 Registration of owners of cardamom estates. 1 docs
(1) Every owner of land planted with cardamom plants, whether such land is comprised in one estate or more than one estate, shall, before the expiration of one month from the date on which he first became owner of such estate or estates, apply to the registering officer appointed in this behalf by the State Government to be registered as an owner in respect of each estate owned by him:
Provided that the State Government may, for sufficient reasons, extend the time-limit for registration by such period as it thinks fit.
(2) Registration once made shall continue to be in force until it is cancelled by the registering officer.
Provided that the State Government may, for sufficient reasons, extend the time-limit for registration by such period as it thinks fit.
(2) Registration once made shall continue to be in force until it is cancelled by the registering officer.
Section 9 Power of State Government to make rules. 1 docs
(1) The State Government may, by notification in the Official Gazette, make rules to carry into effect the provisions of section 8.
(2) Without prejudice to the generality of the foregoing power, such rules may prescribe the form of the application for registration and for cancellation of registration, the fee payable on such applications, the particulars to be included in such application, the procedure to be followed in granting and cancelling registration, the registers to be kept by registering officers and the supply by registering officers of information to the Board.
(2) Without prejudice to the generality of the foregoing power, such rules may prescribe the form of the application for registration and for cancellation of registration, the fee payable on such applications, the particulars to be included in such application, the procedure to be followed in granting and cancelling registration, the registers to be kept by registering officers and the supply by registering officers of information to the Board.
Section 10 Returns to be made by registered owners. 1 docs
(1) A registered owner shall furnish returns to the Board in such form, at such times and in such manner as may be prescribed.
(2) The Board may authorise an officer to visit any estate at any time to verify the accuracy of any return made under this section or to ascertain the productive capacity of the estate.
(2) The Board may authorise an officer to visit any estate at any time to verify the accuracy of any return made under this section or to ascertain the productive capacity of the estate.
Section 11 No person to export spices without certificate. 4 docs
Save as otherwise provided in this Act, no person shall, after the commencement of this Act, commence or carry on the business of export of any spice except under and in accordance with a certificate:
Provided that a person carrying on the business of export of spices immediately before the commencement of this Act, may continue to do so for a period of three months from such commencement; and if he has made an application for such certificate within the said period of three months till the disposal of such application.
Explanation.--The reference in this section to the commencement of this Act shall be construed in relation to any spice added to the Schedule by notification under the proviso to clause (n) of section 2 as reference to the date with effect from which such spice is added to the Schedule.
Provided that a person carrying on the business of export of spices immediately before the commencement of this Act, may continue to do so for a period of three months from such commencement; and if he has made an application for such certificate within the said period of three months till the disposal of such application.
Explanation.--The reference in this section to the commencement of this Act shall be construed in relation to any spice added to the Schedule by notification under the proviso to clause (n) of section 2 as reference to the date with effect from which such spice is added to the Schedule.
Section 12 Grant of certificate. 6 docs
(1) An application for grant of certificate shall be made to the Board in such form and shall contain such particulars as may be prescribed and shall be accompanied by a receipt evidencing the payment of the prescribed fee.
(2) On receipt of such application, the Board shall--
(a) if the application is not in the prescribed form or does not contain any of the prescribed particulars, return the application to the applicant; or
(b) if the application is in the prescribed form and contains the prescribed particulars, grant the certificate subject to such terms and conditions as may be determined by regulations.
(2) On receipt of such application, the Board shall--
(a) if the application is not in the prescribed form or does not contain any of the prescribed particulars, return the application to the applicant; or
(b) if the application is in the prescribed form and contains the prescribed particulars, grant the certificate subject to such terms and conditions as may be determined by regulations.
Section 13 Cancellation, suspension, etc., of certificate. 1 docs
(1) The Board may cancel any certificate on any one or more of the following grounds, namely:--
(a) that the holder of the certificate has violated any of the terms and conditions of the certificate; and
(b) that in the opinion of the Central Government it is necessary in the interests of general public to cancel the certificate.
(2) Where the Board, for reasons to be recorded in writing, is satisfied that pending consideration of the question of cancelling the certificate on any grounds mentioned in sub-section (1), it is necessary so to do, the Board may, by order in writing, suspend the operation of the certificate for such period not exceeding forty-five days as may be specified in the order and require the holder of the certificate to show cause, within fifteen days from the date of receipt of such order, as to why the suspension of the certificate should not be extended till the determination of the question as to whether the registration should be cancelled.
(3) No order of cancellation of registration under this section shall be made unless the person concerned has been given a reasonable opportunity of being heard in respect of the grounds for such cancellation.
(a) that the holder of the certificate has violated any of the terms and conditions of the certificate; and
(b) that in the opinion of the Central Government it is necessary in the interests of general public to cancel the certificate.
(2) Where the Board, for reasons to be recorded in writing, is satisfied that pending consideration of the question of cancelling the certificate on any grounds mentioned in sub-section (1), it is necessary so to do, the Board may, by order in writing, suspend the operation of the certificate for such period not exceeding forty-five days as may be specified in the order and require the holder of the certificate to show cause, within fifteen days from the date of receipt of such order, as to why the suspension of the certificate should not be extended till the determination of the question as to whether the registration should be cancelled.
(3) No order of cancellation of registration under this section shall be made unless the person concerned has been given a reasonable opportunity of being heard in respect of the grounds for such cancellation.
Section 14 Appeal. 1 docs
(1) Any person aggrieved by an order made under section 13 may prefer an appeal to the Central Government within such period as may be prescribed.
(2) No appeal shall be admitted if it is preferred after the expiry of the period prescribed therefor:
Provided that an appeal may be admitted after the expiry of the period prescribed therefor if the appellant satisfies the Central Government that he had sufficient cause for not preferring the appeal within the prescribed period.
(3) Every appeal made under this section shall be made in such form and shall be accompanied by a copy of order appealed against and by such fees as may be prescribed.
(4) The procedure for disposing of an appeal shall be such as may be prescribed:
Provided that before disposing of an appeal, the appellant shall be given a reasonable opportunity of being heard.
(5) The Central Government may confirm, modify or reverse the order appealed against.
(2) No appeal shall be admitted if it is preferred after the expiry of the period prescribed therefor:
Provided that an appeal may be admitted after the expiry of the period prescribed therefor if the appellant satisfies the Central Government that he had sufficient cause for not preferring the appeal within the prescribed period.
(3) Every appeal made under this section shall be made in such form and shall be accompanied by a copy of order appealed against and by such fees as may be prescribed.
(4) The procedure for disposing of an appeal shall be such as may be prescribed:
Provided that before disposing of an appeal, the appellant shall be given a reasonable opportunity of being heard.
(5) The Central Government may confirm, modify or reverse the order appealed against.
Section 15 Power to permit export without certificate. 1 docs
The Central Government may, if satisfied that it is necessary or expedient, so to do, in public interest, by notification in the Official Gazette and subject to such conditions, if any, as may be specified therein, permit any body or other agency to commence or carry on the business of export of spices without a certificate.
Section 16 Power to control price and distribution of cardamom. 1 docs
(1) The Central Government may, by order notified in the Official Gazette, fix in respect of cardamom of any description specified therein--
(a) the maximum price or the minimum price, or the maximum and minimum prices, which may be charged by a grower of cardamom or cardamom dealer, wholesale or retail, whether for the Indian market or for export; and
(b) the maximum quantity which may in one transaction be sold to any person.
(2) Without prejudice to the generality of the powers conferred by sub-section (1), any order made thereunder may provide--
(a) for requiring persons engaged in the production, supply or distribution of, or trade and commerce in, cardamom to maintain and produce for inspection such books, accounts and records relating to their business and to furnish such information relating thereto as may be specified in the order; and
(b) for such other matters, including in particular the entering and search of premises, vehicles, vessels and aircraft, and the seizure by a person authorised to make such search, of cardamom in respect of which such person has reason to believe that a contravention of the order has been, is being or is about to be, committed.
(a) the maximum price or the minimum price, or the maximum and minimum prices, which may be charged by a grower of cardamom or cardamom dealer, wholesale or retail, whether for the Indian market or for export; and
(b) the maximum quantity which may in one transaction be sold to any person.
(2) Without prejudice to the generality of the powers conferred by sub-section (1), any order made thereunder may provide--
(a) for requiring persons engaged in the production, supply or distribution of, or trade and commerce in, cardamom to maintain and produce for inspection such books, accounts and records relating to their business and to furnish such information relating thereto as may be specified in the order; and
(b) for such other matters, including in particular the entering and search of premises, vehicles, vessels and aircraft, and the seizure by a person authorised to make such search, of cardamom in respect of which such person has reason to believe that a contravention of the order has been, is being or is about to be, committed.
Section 17 Power to prohibit or control import of cardamom. 1 docs
The Central Government may, by order published in the Official Gazette, make provision for prohibiting, restricting or otherwise controlling the import of cardamom, either generally or in specified classes of cases.
Section 18 Power of the Central Government to issue directions. 1 docs
(1) Without prejudice to the foregoing provisions of this Act, the Board shall, in the discharge of its functions and duties under this Act, be bound by such directions on questions of policy as the Central Government may give in writing to it from time to time:
Provided that the Board shall, as far as practicable, be given an opportunity to express its views before any direction is given under this sub-section.
(2) The decision of the Central Government whether a question is one of policy or not shall be final.
Provided that the Board shall, as far as practicable, be given an opportunity to express its views before any direction is given under this sub-section.
(2) The decision of the Central Government whether a question is one of policy or not shall be final.
Section 19 Power of the Central Government to supersede the Board. 1 docs
(1) If at any time the Central Government is of opinion--
(a) that on account of grave emergency, the Board is unable to discharge the functions and duties imposed on it by or under the provisions of this Act; or
(b) that the Board has persistently made default in complying with any direction issued by the Central Government under this Act or in the discharge of the functions and duties imposed on it by or under the provisions of this Act and as a result of such default the financial position of the Board or the administration of the Board has deteriorated; or
(c) that circumstances exist which render it necessary in the public interest so to do, the Central Government may, by notification in the Official Gazette, supersede the Board for such period, not exceeding six months, as may be specified in the notification.
(2) Upon the publication of a notification under sub-section (1) superseding the Board,--
(a) all the members shall, as from the date of supersession, vacate their offices as such;
(b) all the powers, functions and duties which may, by or under the provisions of this Act, be exercised or discharged by or on behalf of the Board, shall until the Board is reconstituted under sub-section (3), be exercised and discharged by such person or persons as the Central Government may direct; and
(c) all property owned or controlled by the Board shall, until the Board is reconstituted under sub-section (3), vest in the Central Government.
(3) On the expiration of the period of supersession specified in the notification issued under sub-section (1), the Central Government may reconstitute the Board by a fresh appointment and in such case any person or persons who vacated their offices under clause (a) of sub-section (2), shall not be deemed disqualified for appointment:
Provided that the Central Government may, at any time, before the expiration of the period of supersession, take action under this sub-section.
(4) The Central Government shall cause a notification issued under sub-section (1) and a full report of any action taken under this section and the circumstances leading to such action to be laid before each House of Parliament at the earliest.
(a) that on account of grave emergency, the Board is unable to discharge the functions and duties imposed on it by or under the provisions of this Act; or
(b) that the Board has persistently made default in complying with any direction issued by the Central Government under this Act or in the discharge of the functions and duties imposed on it by or under the provisions of this Act and as a result of such default the financial position of the Board or the administration of the Board has deteriorated; or
(c) that circumstances exist which render it necessary in the public interest so to do, the Central Government may, by notification in the Official Gazette, supersede the Board for such period, not exceeding six months, as may be specified in the notification.
(2) Upon the publication of a notification under sub-section (1) superseding the Board,--
(a) all the members shall, as from the date of supersession, vacate their offices as such;
(b) all the powers, functions and duties which may, by or under the provisions of this Act, be exercised or discharged by or on behalf of the Board, shall until the Board is reconstituted under sub-section (3), be exercised and discharged by such person or persons as the Central Government may direct; and
(c) all property owned or controlled by the Board shall, until the Board is reconstituted under sub-section (3), vest in the Central Government.
(3) On the expiration of the period of supersession specified in the notification issued under sub-section (1), the Central Government may reconstitute the Board by a fresh appointment and in such case any person or persons who vacated their offices under clause (a) of sub-section (2), shall not be deemed disqualified for appointment:
Provided that the Central Government may, at any time, before the expiration of the period of supersession, take action under this sub-section.
(4) The Central Government shall cause a notification issued under sub-section (1) and a full report of any action taken under this section and the circumstances leading to such action to be laid before each House of Parliament at the earliest.
Section 20 Grants and loans by the Central Government. 1 docs
The Central Government may, after due appropriation made by Parliament by law, in this behalf, make to the Board grants and loans of such sums of money as that Government may consider necessary.