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The Maharashtra Godawari Marathwada Irrigation Development Corporation Act, 1998

Maharashtra · state statute
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1998 : Mah. XXIII]  1 
THE MAHARASHTRA GODAWARI MARATHWADA IRRIGATION  
                                        DEVELOPMENT CORPORATION ACT, 1998 
          [Text as on 4th November 2024] 
____________                                       
CONTENTS 
PREAMBLE.  
SECTIONS.  
CHAPTER I 
PRELIMINARY 
 1.  Short title and extent.  
 2.  Definitions.  
CHAPTER II 
ESTABLISHMENT, CONDUCT OF BUSINESS AND EMPLOYEES OF THE  
CORPORATION 
 3.  Establishment of Godawari Marathwada Irrigation Development Corporation.  
 4.  Constitution of Corporation.  
 5.  Executive Committee.  
 6.  Disqualifications for membership and removal of members.  
 7.  Meetings of Corporation.  
 8.  Constitution of committees.  
 9.  Provision for inviting officers of Government and local authority.  
 10.  Filling up of casual vacancy of member.  
 11.  Act not to be invalidated by vacancy, informality, etc.  
 12.  Officers and servants of Corporation.  
 13.  Disqualification of all officers and staff.  
 14.  Authentication of orders, etc., of Corporation.  
CHAPTER III 
VESTING OF PROPERTY, ASSETS, LIABILITIES AND OBLIGATIONS AND  
TRANSFER OF EMPLOYEES 
 15.  Vesting and transfer of property to Corporation.  
 16.  Decision of State Government on vesting of property to be final.  
 17.  Power of State Government to depute certain Government employees to Corporation.  
CHAPTER IV 
FUNCTIONS AND POWERS OF CORPORATION 
 18.  Functions of Corporation.  
 19.  General powers of the Corporation.  
2 The Maharashtra Godawari Marathwada Irrigation [1998 : Mah. XXIII 
                                                  Development Corporation Act, 1998 
 20.  Water charges for supply of water for irrigation, industrial and domestic purposes.  
 21.  Responsibility of Corporation for payment of interest on borrowed money.  
 22.  Prohibition of construction of dam, bandhara, weir, etc. , except with approval of       
             Corporation. 
 23.  Co-ordination with other authorities to minimise inconvenience caused by submergence.  
 24.  Powers to be exercised by Corporation under Maharashtra Irrigation Act, 1976.  
 25.  Power of State Government to issue directions.  
CHAPTER V 
ACQUISITION OF LAND 
 26.  Power to acquire land for purposes of this Act.  
 27.  Transfer of Government lands to Corporation.  
 28.  Power of Corporation to dispose of land, etc.  
CHAPTER VI 
FINANCE, ACCOUNTS AND AUDIT 
 29.  Application of Corporation’s assets, etc.  
 30.  Fund of Corporation.  
 31.  Contribution of Government to Corporation Fund.  
 32.  Grants, subventions, loans and advances to Corporation.  
 33.  Power of Corporation to borrow.  
 34.  Acceptance of deposits by Corporation.  
 35.  Power to spend.  
 36.  Expenditure on objects other than irrigation and Power Projects.  
 37.  Allocation of expenditure chargeable to project on main objects.  
 38.  Reserve and other funds.  
 39.  Submission of budget to Corporation.  
 40.  Sanction of budget estimates.  
 41.  Government as Guarantor.  
 42. Disposal of profits and deficits.  
 43.  Interest charges and other expenses to be added to and receipts taken for reduction of capital    
             cost. 
 44.  Depreciation fund.  
 45.  Apportionment of betterment charge levied by State Government.  
 46.  Financial Statement and programme of work.  
 47.  Accounts and Audit.  
 48.  Concurrent and special audit of accounts. 
1998 : Mah. XXIII] The Maharashtra Godawari Marathwada Irrigation 3 
                                                   Development Corporation Act, 1998 
CHAPTER VII 
MISCELLANEOUS AND SUPPLEMENTARY PROVISIONS 
 49.  Furnishing of annual reports and accounts, returns, etc.  
 50.  Rehabilitation and re-settlement of the project affected persons.  
 51.  Execution of contract, etc.  
 52.  General penalty.  
 53.  Power of entry.  
 54.  Dues to be recovered as arrears of land revenue.  
 55.  Service of notice, etc.  
 56.  Public notice how to be made known.  
 57.  Notice period for performance.  
 58.  Default in performance of duty.  
 59.  Offences by companies.  
 60.  Authority for prosecution.  
 61.  Compounding of offences by Corporation.  
 62.  Penalty for obstruction.  
 63.  Delegation of powers of Corporation.  
 64.  Protection of action taken in good faith.  
 65.  Chairperson, Vice-Chairperson, Executive Director, Members and Officers, etc., to be  
  public servants. 
 66.  Effect of provisions inconsistent with other laws.  
 67.  Power to make rules.  
 68.  Power to make regulations.  
 69.  Power to remove doubts and difficulties.  
 70.  Dissolution of Corporation.  
 SCHEDULE 
 
 
 
 
 
 
 
 
 
 
4 The Maharashtra Godawari Marathwada Irrigation [1998 : Mah. XXIII 
                                                  Development Corporation Act, 1998 
 
 
 
 
 
 
1998 : Mah. XXIII] The Maharashtra Godawari Marathwada Irrigation 5 
                                                   Development Corporation Act, 1998 
  LIST OF AMENDMENT ACTS 
 1. Amended by Mah.  9 of 2000 (8-10-1999)1 
 2. Amended by Mah. 31 of 2000 (4-5-2000) 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                           
1  Mah. Ord. 31 of 1999 was repealed by Mah. 9 of 2000, s. 7. 
 
Note.- The date mentioned in the bracket indicates the date of commencement of the Act. 
6 The Maharashtra Godawari Marathwada Irrigation [1998 : Mah. XXIII 
                                                  Development Corporation Act, 1998 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1998 : Mah. XXIII] The Maharashtra Godawari Marathwada Irrigation 7 
                                                   Development Corporation Act, 1998 
MAHARASHTRA ACT No. XXIII OF 19981 
 [THE MAHARASHTRA GODAWARI MARATHWADA IRRIGATION  
DEVELOPMENT CORPORATION ACT, 1998.] 
[This Act received the assent of the Governor on the 14th August 1998; assent was first published, 
 in the Maharashtra Government Gazette, Part IV, on the 17th August 1998.] 
An Act to make special provisions for promotion and operation of irrigation projects, command 
area development and schemes for generation of hydro-electric energy to harness the water of 
Godawari River pertaining to the State of Maharashtra and other allied and incidental activities 
including flood control in the Godavari River Valley by establishing the Godawari Marathwada 
Irrigation Development Corporation.  
WHEREAS it is expedient to make special provisions for promotion and operation of Irrigation 
projects, command area development and schemes for generation of hydro -electric energy to harness 
the water of Godawari River pertaining to the State of Maharashtra and other allied and incidental 
activities including flood control in the  Godawari River Valley by establishing the Godawari 
Marathwada Irrigation Development Corporation; and to provide for matters connected therewith and 
incidental thereto hereinafter appearing; it is hereby enacted in the Forty -ninth Year of the Republic of 
India, as follows :— 
CHAPTER I 
PRELIMINARY 
1.  Short title and extent.— (1) This Act may be called the Maharashtra Godawari Marathwada 
Irrigation Development Corporation Act, 1998.  
(2) It shall extend to the main stream of Godawari  River in the Districts of the State of 
Maharashtra as specified in the Schedule to this Act and such other area or areas, as the State 
Government may, by notification in the Official Gazette, specify. 
2.  Definitions.— In this Act, unless the context otherwise requires,—  
(a) “area of operation of the Corporati on’’ means the area of the main stream of Godawari 
River and any other area or areas to which the provisions of this Act are extended by the State 
Government by notification in the Official Gazette, under sub-section (2) of section 1;  
(b) “Corporation ’’ means the Godawari Marathwada Irrigation Development Corporation 
established under section 3;  
(c) “Hydro -Electric Power Project ’’ means and includes the planning, construction, 
maintenance and management of Hydro-Electric Power Projects (excluding Bhandardara (Phase I 
and II) and Ghatgar Hydro -Electric Power Projects) within the area of operation of the 
Corporation and shall also include such Hydro -Electric Power Projects as are assigned, handed 
over or transferred to the Corporation by the State Government;  
(d) “Irrigation Department” means the Irrigation Department of Government;  
(e) “Irrigation Project”  means the planning, con struction, maintenance and management 
of— 
(i) Major Irrigation Project having irrigable command area of more than 10,000 
hectares,  
(ii) Medium Irrigation Project having irrigable command area of more than 2,000 
hectares and upto 10,000 hectares,  
(iii) Minor Irrigation Project having irrigable command area of more than 250 hectares 
and upto 2,000 hectares,  
                                                           
1  For Statement of Objects and Reasons  of the L. A. Bill No. XXXVIII of 1998 , see Maharashtra Government Gazette  
1998, Extraordinary No. 64, Part V, dated the 27th July 1998, pages 605-606. 
8 The Maharashtra Godawari Marathwada Irrigation [1998 : Mah. XXIII 
                                                  Development Corporation Act, 1998 
and shall include command area development, flood control and other allied activities;  
(f) “main stream of Godawari River ’’ means the geographical are a of Godawari River and 
all its tributaries within the Districts of Nashik and Ahmednagar and in the Marathwada region of 
the State of Maharashtra;  
(g) “Member’’ means a member of the Corporation designated as Director;  
(h) “prescribed’’ means prescribed by rules made under this Act;  
(i) “regulations’’ means the regulations made under this Act;  
(j) “State Government” or “Government” means the Government of Maharashtra. 
CHAPTER II 
ESTABLISHMENT, CONDUCT OF BUSINESS AND EMPLOYEES OF THE CORPORATION 
3.  Establishment of Godawari Marathwada Irrigation Development Corporation.— (1) The 
State Government shall, by notification in the Official Gazette establish, for the purpose of this Act, a 
Corporation to be called the Godawari Marathwada Irrigation Development Corporation.  
(2) The Corporation established under sub -section (1) shall be a body corporate having perpetual 
succession and a common seal, with power to contract, acquire, hold and dispose of property, both 
movable and immovable, and to do all things  necessary for the purposes of this Act, and may sue and 
be sued by its corporate name.  
(3) The head office of the Corporation shall be at Aurangabad. 
4.  Constitution of Corporation.— (1) The Corporation shall consist of the following members, 
namely :— 
(a) the Minister for Irrigation                                 . .     . . ex-officio Chairperson; 
(b) two non-official members to be appointed       
      by the State Government.  
    . .       Vice-Chairpersons; 
(c) the Chief Secretary to Government                        . .  ex-officio Vice-Chairperson; 
(d) Secretary to Government, Irrigation Department  ex-officio Managing Director; 
(e) Secretary to Government, Irrigation Department 
      (Command Area Development). 
                ex-officio Member; 
(f) Secretary to Government, Finance Department                 ex-officio Member; 
(g) Secretary to Government, Planning Department                ex-officio Member; 
(h) Secretary to Government, Revenue and Forests 
      Department (Forests). 
               ex-officio Member; 
(i) Secretary to Government, Revenue and Forests 
     Department (Relief and Rehabilitation). 
               ex-officio Member; 
(j) Secretary to Government, Agriculture Department                ex-officio Member; 
(k) Seven members to be nominated by the State Government, from amongst the members of the 
Maharashtra State Legislative Assembly elected from the Assembly constituencies in Nashik and 
Ahmednagar Districts Marathwada region. 
(l) two members to be nominated by the State Government, from amongst the members of the 
Maharashtra State Legislative Council from Nashik and Ahemednagar Districts and Marathwada 
region. 
(m) one officer not below the rank of Secretary to Government, from the cadre of the Engineering 
Services of the Irrigation Department to be appointed by the State Government as the Member -
1998 : Mah. XXIII] The Maharashtra Godawari Marathwada Irrigation 9 
                                                   Development Corporation Act, 1998 
Secretary of the Corporation who shall be Designated as the Executive Director of the Corporation. 
The Executive Director shall be entitled to  take part in all the deliberations and proceedings of the 
meetings of the corporation but shall have no right to vote.  
(2) The term of office of the nominated members shall be for a period of one year unless 
terminated earlier by the State Government:  
Provided that, the members of the Maharashtra State Legislature shall cease to be the members of 
the Corporation if they cease to be members of the Maharashtra State Legislature.  
(3) The non -official members of the Corporation nominated under clause ( b) of sub-section (1) 
shall receive such remuneration and allowances as may be laid down by regulations.  
(4) The official members of the Corporation shall receive such compensatory allowances, for the 
purpose of meeting the personal expenditure in attending th e meetings of the Corporation, as may be 
laid down by regulations. 
5.  Executive Committee. — (1) There shall be an Executive Committee consisting of the 
following members, namely :— 
(a) Managing Director of the Corporation                   . .   Chairperson; 
(b) Executive Director of the Corporation  . .     Member; 
(c) Chief Engineer, Irrigation Department,  
              Aurangabad 
 . .      Member; 
(d) Chief Engineer (Command Area Development),         
               Aurangabad 
 . . Member; 
(e) Chief Accounts and Finance Officer of the 
               Corporation 
 . .   Member; 
(f) Superintending Engineer of the Corporation  . .   Member-Secretary. 
(2) The powers, functions and duties of the Executive Committee shall be such as may be laid 
down by regulations. 
6.  Disqualifications for membership and removal of members. — (1) A person shall be 
disqualified for being nominated as a non-official member or continue to be such member, if he,—  
(a) is an employee of the Corporation, except the Executive Director;  
(b) is of unsound mind, and stands so declared by a competent Court;  
(c) is an undischarged insolvent;  
(d) is convicted for an offence involving moral turpitude;  
(e) has, directly or indirectly by himself or by any partner, employer or employee, any share 
or interest, whether pecuniary or of any other nature, in any contract or employment with, by o r 
on behalf of, the Corporation; or  
(f) is a Director, Secretary, Manager or other office of any Company, which has any share or 
interest in any contract or employment with, by or on behalf of the Corporation: 
Provided that, a person shall not be disqualified under clause (e) or clause (f) by reason only 
of his or the Company of which he is a Director, Secretary, Manager or other officer , having a 
share or interest in—  
(i) any sale, purchase, lease or exchange of immovable propert y or any agreement for 
the same;  
(ii) any agreement for loan of money or any security for payment of money only;  
(iii) any newspaper in which any advertisement rel ating to the affairs of the 
Corporation is published.  
10 The Maharashtra Godawari Marathwada Irrigation [1998 : Mah. XXIII 
                                                  Development Corporation Act, 1998 
(2) The State Government may remove from the Corporation any non-official member nominated 
by it, who in its opinion,—  
(a) has been disqualified under sub-section (1);  
(b) refuses to act;  
(c) has so abused his position as a member as to render his continuance on the Corporation 
detrimental to the interest of the public; or  
(d) is otherwise unsuitable to continue as member.  
(3) No order of removal under sub -section (2) shall be made, unless the n on-official member has 
been given an opportunity to submit his explanation to the Government and when such order is passed, 
the office of the member so removed shall be deemed to be vacant.  
(4) A member who has been so removed under sub -section ( 3) shall not be eligible for 
reappointment as member or in any other capacity on the Corporation. 
7.  Meetings of Corporation.— (1) The Corporation shall meet at such times and places as the 
Chairperson may decide and shall, subject to the provisions of sub -section (3), observe such rules of 
procedure in regard to the transaction of business at its meetings (including quorum thereof) as may be 
laid down by regulations:  
Provided that, at least one meeting shall be held in every calendar month in such manner so as to  
ensure that not more than thirty days intervene between the two meetings.  
(2) The Chairperson or, in his absence, such of the Vice -Chairpersons appointed under clause (b) 
of sub -section ( 1) of section 4, if both are the m embers of the State Legislature ; as may be 
predetermined by the Chairperson by an order, shall preside over  the meeting of the Corporation ; and 
in the absence of all the three, the Chief Secretary to Government, being the ex-officio  
Vice-Chairperson shall preside over such meeting:  
Provided that, if the Vice-Chairpersons appointed under clause (b) of sub-section (1) of section 4 
are persons other than the members of the State Legislature, the Chief Secretary as the ex-officio  
Vice-Chairperson shall, in the absence of the Chairperson , preside over the meeting and in absence of 
the Chief Secretary, such of the other Vice-Chairpersons, as may be predetermined by the Chairperson 
by an order, shall preside over such meeting:  
Provided further that, if for any reason the Chairperson and th e Vice-Chairpersons are unable to 
attend any meeting, the meeting shall stand adjourned.  
(3) A member, who is directly or indirectly concerned or interested in any contract, loan, 
arrangement or proposal entered into or proposed to be entered into, by or on behalf of the Corporation, 
shall, at the earliest possible opportunity, disclose the nature of his interest to the Corporation, and shall 
not be present at any meeting of the Corporation when any such contract, loan, arrangement or 
proposal is discussed, unless his presence is required by the other members for the purpose of eliciting 
information, but no member so required to be present shall vote on any such contract , loan, 
arrangement or proposal: 
Provided that, a member shall not be deemed to be conce rned or interested as aforesaid by reason 
only of his being a share -holder of a Company concerned in any such contract, loan, arrangement or 
proposal. 
8.  Constitution of committees.— The Corporation may, from time to time, constitute committee 
or committees out of its members consisting of such number of them as it may think proper and may 
delegate to such committee or committees such powers of the Corporation as it may deem fit for 
carrying out the purposes of this Act.  
9.  Provision for inviting officers of Government and local authority. — (1) The Corporation 
or any of its committees may invite any officer of the Central Government, State Government, local 
authority or any organisation or any person to attend its meeting or meetings as a special invitee for the 
1998 : Mah. XXIII] The Maharashtra Godawari Marathwada Irrigation 11 
                                                   Development Corporation Act, 1998 
purpose of assisting or advising  it on any matter or matters. The officer or person so invited may take 
part in the proceedings, but shall have no right to vote.  
(2) The officer or person so invited shall be entitled to drawn such honorarium or compensatory 
allowance for the purpose of meeting the personal expenditure in attending the meetings of the 
Corporation or any of its committees as the Corporation may determine, from time to time.  
10.  Filling up of casual vacancy of member. — Any vacancy of a member of the Corporation 
shall be filled as early as practicable, in like manner as if the appointment were being made for the first 
time.  
11.  Act not to be invalidated by vacancy, informality, etc.— No act done or proceedings taken 
under this Act by the Corporation or any committee appoi nted by the Corporation shall be invalidated 
merely on the grounds of,—  
(a) any vacancy of a member or any defect in the constitution or reconstitution of the 
Corporation or a committee thereof; or  
(b) any defect or irregularity in the appointment of a person as a member of the Corporation 
or of a committee thereof; or  
(c) any defect or irregularity in such act or proceedings, not affecting the substance.  
12.  Officers and servants of Corporation.— (1) The State Government shall appoint Executive 
Director as provided in sub -section (1) of section 4, Superintending Engineer and Chief Accounts and 
Finance Officer not below the rank of Director from the Maharashtra Finance and Accounts Service, 
for the Corporation.  
(2) The Corporation may, with the prior a pproval of the State Government appoint such other 
officers and servants subordinate to the officers mentioned in sub -section (1), as it considers necessary 
for the efficient performance of its duties and functions.  
(3) The conditions of appointment and s ervice of the officers and servants and their scales of pay 
shall,—  
(a) as regards the officers mentioned in sub-section (1), be such as may be prescribed; and  
(b) as regards the officers and servants mentioned in sub -section (2), be such as may be laid 
down, from time to time, by regulations. 
(4) Subject to the superintendence of the Corporation, and the overall control on the activities of 
the Corporation, the Managing Director shall supervise and control all its officers and employees 
including any officers of Government appointed on deputation to the Corporation.  
13.  Disqualification of all officers and staff. — No person who has, directly of indirectly, by 
himself or by his partner, or agent, any share or interest in any contract, by or on behalf of the 
Corporation or in any employment under, by or on behalf of the Cor poration otherwise than as an 
officer or staff thereof, shall be qualified to be an officer or staff of the Corporation.  
14.  Authentication for orders, etc., of Corporation.— All proceedings of the Corporation shall 
be authenticated by the Chairperson or  Vice-Chairperson and all orders and instruments of the 
Corporation shall be authenticated by the Managing Director and the Executive Director or any other 
officer of the Corporation as may be authorised in this behalf by regulations. 
CHAPTER III 
VESTING OF PROPERTY, ASSETS, LIABILITIES AND OBLIGATIONS AND TRANSFER OF EMPLOYEES 
15.  Vesting and transfer of property to Corporation. — (1) From such date as may be 
specified, from time to time, by the State Government (hereinafter i n this section referred to as “the 
appointed date’’),—  
12 The Maharashtra Godawari Marathwada Irrigation [1998 : Mah. XXIII 
                                                  Development Corporation Act, 1998 
(a) the properties and assets comprising movables and immovables including Irrigation 
Projects, Hydro-Electric Power Projects, works under construction and management of completed 
schemes, specified in that behalf, situated in the  area of operation of the Corporation, which 
immediately before the appointed date vested in the State Government and were under the control 
of the Irrigation Department, shall vest in and stand transferred to the Corporation and all income 
derived and expenses incurred in that behalf be brought on books of the Corporation; and  
(b) the rights, liabilities and obligations of the State Government, whether arising out of any 
contract or otherwise pertaining to the said projects of the State Government shall b e deemed to 
be the rights, liabilities and obligations of the Corporation.  
(2) Such properties, assets, rights, liabilities and obligations shall be valued in such manner as the 
State Government may determine.  
(3) All suits and other legal proceedings wi th respect to any scheme for the development of 
Irrigation Projects and Hydro-Electric Power Projects vested in the Corporation, under sub -section (1), 
instituted against or defended by the State Government before the appointed date may be continued, or 
defended by or against, the Corporation.  
16.  Decision of State Government on ve sting of property to be final. — Where any doubt or 
dispute arises as to whether any property or assets have vested in the Corporation under section 15 or 
any rights, liabilities or obligations have become the rights, liabilities or obligations of the Corporation 
under that section, such doubt or dispute shall be referred to the State Government, whose decision 
shall be final. 
17. Power of State Government to depute certain Government employees to 
Corporation.— (1) Where on account of conferment of any powers, duties and functions on the 
Corporation by or under this Act, in the opinion of the State Government, any employees in the field 
establishments, that is, officers and e mployees belonging to technical staff as well as ministerial and 
non-ministerial staff (permanent, regular, temporary, converted regular permanent, temporary and daily 
wages) in the Irrigation Department on the date specified by the State Government engage d in the 
fields of planning, investigation, design, construction, management, land development of the state 
sector, irrigation projects, lift irrigation scheme and Hydro-Electric Power Projects, have been rendered 
surplus or are likely to be rendered surpl us wholly or partially to the requirements of the State 
Government, or where the services, of such officers and servants are required by the Corporation for 
efficient exercise of its powers, performance of its duties or discharge of its functions, the Stat e 
Government, the Head of the Department of the State Government or any officer authorised by the 
State Government in this behalf may, from time to time, having regard to the necessity therefore, by 
order, depute such officers or employees to the Corporati on, and the Corporation shall take them over 
and employ them on deputation, subject to the provisions of this section.  
(2) The period of deputation of any such employee to the Corporation shall be five years except 
when any such person is required to be r epatriated on the grounds, such as promotion, reversion, 
termination or superannuation or any other reason as may be directed by the State Government. After the 
expiry of the period of deputation, he shall stand repatriated to service under the State Government:  
Provided that, during the period of such deputation all matters relating to the pay, leave, 
allowances, retirement, pension, provident fund and other conditions of service of the employees on 
deputation shall be regulated by the Maharashtra Civil Services Rules or such other rules as may, from 
time to time, be made by the State Government.  
(3) All the regular, permanent and regular temporary permanent employees, of the said 
establishment transferred on deputation to the Corporation under sub -section (2) shall have a lien on 
their posts in the service under the State Government and the period of their service under the 
Corporation shall, on their repatriation to the service under the State Government, be counted for their 
increments, pensions and other matters relating to their service.  
(4) The Corporation shall have the authority to transfer the officers and staff members within the 
area of operation of the Corporation.  
(5) No employee on deputation to the Corporation shall be entitled to any deputation allowance.  
1998 : Mah. XXIII] The Maharashtra Godawari Marathwada Irrigation 13 
                                                   Development Corporation Act, 1998 
(6) The salaries and allowances of employees on deputation to the Corporation shall be paid from 
the Corporation’s fund.  
(7) Save as otherwise provided in this section, the terms and conditions of services of employees 
on deputation to the Corporation shall not be less advantageous than those applicable to them 
immediately before deputation and shall not be varied to their disadvantages except with the previous 
sanction of the State Government. 
CHAPTER IV 
FUNCTIONS AND POWERS OF CORPORATION 
18.  Function of Corporation.— The functions of the Corporation shall be—  
(a) to promote and operate,—  
(i) irrigation projects and command area development including flood control; and 
(ii) schemes for the generation of hydro-electrical energy;  
(b) to plan, investigate, design, construct and manage the irrigation project s and command 
area development 1[, and to help drip irrigation schemes through the Agricu lture Department of 
Government];  
(c) to plan, investigate, design, construct and manage the schemes of the genera tion of 
hydro-electrical energy;  
(d) to enter into contracts in respect of the works and any other matters transferred to the 
Corporation alongwith assets and liabilities under this Act;  
(e) to invite tenders, bids, offers and enter into contracts for the purposes of all th e activities 
of the Corporation;  
(f) to promote participation of any person or body or association of individuals, whether 
incorporated or not, in planning, investigation, designing, construction and management of 
irrigation projects, and command area development and Hydro -Electric Power Projects including 
flood control;  
(g) to undertake schemes or works, either jointly with other corpo rate bodies or institutions, 
or with Government or local authorities, or on an agency basis in furtherance of the purposes for 
which the Corporation is established and all matters connected therewith;  
(h) to promote irrigation related activities such as f isheries, pisciculture, floriculture, 
horticulture, sericulture, tissueculture, etc.;  
(i) to promote tourism, water sports and other related activities on and around the Irrigation 
and Hydro-Electric Power Projects;  
(j) to develop the land around or near by lake and in other suitable locations with irrigation 
facilities and other infrastructure facilities and lease part or whole of such developed properties to 
the interested parties;  
(k) to prepare annual plan and five year working development plan;  
(l) to prepare annual budget;  
(m) to undertake any other activities entrusted by the State Government in furtherance of the 
objectives for which the Corporation is established. 
19.  General powers of the Corporation.— (1) The Corporation shall have the powers to accord 
technical sanction of acceptance of all tenders, sanctioning budget and making financial provisions, 
                                                           
1  These words were added by Mah. 9 of 2000, s. 6. 
14 The Maharashtra Godawari Marathwada Irrigation [1998 : Mah. XXIII 
                                                  Development Corporation Act, 1998 
settling disputes arising out of contracts and any other thing which may be necessary or expedient for 
the purposes of carrying out its functions under this Act.  
(2) Without prejudice to the generality of the foregoing provision, such powers shall include the 
power,—  
(a) to acquire and hold property, both movable and immovable as the Corporation may 
deem necessary for the performance of any of its functions, duties, activities and to lease, sell, 
exchange or otherwise transfer any property hold by it on such conditions as may be d eemed 
proper by the Corporation;  
(b) to construct or cause to be constructed s uch dams, barrages, reservoirs, power houses, 
power structures, electrical transmission lines and sub-stations, navigation works, irrigation, flood 
control and drainage canals and such other works and structures as may be required;  
(c) to take measures to  prevent pollution of any water under its control and to take all 
measures deemed necessary to prevent discharges into such water of effluents which are harmful 
to water-supply, irrigation, public health or fish life; 
(d) to stock its reservoirs or water c ourses with fish and to sell fish or fishing rights and 
prohibit taking out fish from the water under its control;  
(e) to assist in the establishment of water users’  association and other organisations formed 
under the Maharashtra Co-operative Societies Act, 1960 (Mah. XXIV of 1961), for the better use 
of facilities made available by the Corporation;  
(f) to lease rights for water sports, other recreational activities related to the use of reservoir 
and its surroundings and reservoir water;  
(g) to establ ish, maintain and operate laboratories, experimental and research stations and 
farms for conducting experiments and research for,—  
(i) utilising the water, electrical energy and other resources in the most economical 
manner for the development of the Godawari River Valley;  
(ii) determining the effect of its operations on the flow conditions in the God awari 
River and its tributaries;  
(iii) providing navigation condition in the Godawari River and its tributaries;  
(h) to engage suitable consultant or p erson having special knowledge or skill to assist the 
Corporation in the performance of its functions;  
(i) to do all such other things and perform such acts as may be necessary for, or incidental or 
conducive to any matters which are necessary for further ance of the objectives for which the 
Corporation is established. 
20.  Water charges for supply of water for irrigation, industrial and domestic 
purposes .— The Corporation shall, from time to time, determine and levy water charges according to 
volume, for s upply of water for irrigation, industrial and domestic purposes to the State Government, 
local authorities, Government agencies, cultivators and water users associations:  
Provided that, the levy of water charges shall be such that water charges so recover ed shall be 
sufficient at least to cover the interest charges of the loan raised by the Corporation from the open 
market.  
21.  Responsibility of Corporation for payment of interest on borrowed money. — The 
Corporation shall pay the interest on the borrowed money through the recovery of water charges.  
22. Prohibition of construction of dam, bandhara, weir, etc., except with approval of 
Corporation.— No person shall construct, operate or maintain within the area of operation of the 
Corporation any dam, bandhara or weir or other work or any installation for the extraction of surface 
water without the prior approval of the Corporation:  
1998 : Mah. XXIII] The Maharashtra Godawari Marathwada Irrigation 15 
                                                   Development Corporation Act, 1998 
Provided that, the State Government or a local authority may, construct and operate such dams, 
weirs, bandharas, etc., anywhere or across any river or basin within such area of operation or assign or 
hand over such dam, bandhara, weir, etc., to the Corporation.  
23. Co-ordination with other authorities to minimise inconvenience caused by 
submergence.— The Corporation shall k eep co -ordination with the State Government, Railway 
Authorities, local authorities and statutory bodies with a view to minimising the inconvenience likely 
to be caused by the submergence of railway, lands and roads and communications and shall bear the 
cost of any re -alignment thereof or re -settlement of any population rendered necessary by such 
submergence. 
24.  Powers to be exercised by Corporation under Maharashtra Irrigation Act, 
1976. — Notwithstanding anything contained in the Maharashtra Irrigation Ac t, 1976 (Mah. XXXVIII 
of 1976) and the Bombay Canal Rules, 1934,—  
(a) the Corporation may carry out all or any of the functions and exercise all or any of the 
powers of the State Government or the appropriate authority; and  
(b) any officer of the Corporation authorised in this behalf by the Corporation may carry out 
all or any of the functions and exercise all or any of the powers of the Canal Officer,  
under the provisions of the said Act and the rules, within the area of operation of the Corporation.  
25.  Powers to State Government to issue directions.— The State Government may issue to the 
Corporation such general or special directions as to policy or exercise of the powers or performance of 
the functions by the Corporation, exce pting in respect of levying and recovery of water charges by the 
Corporation, as it may think necessary or expedient for carrying out of the purposes of this Act and the 
Corporation shall be bound to follow and act upon such directions. 
CHAPTER V 
ACQUISITION OF LAND 
26.  Power to acquire land for purposes of this Act. — (1) The State Government may for 
carrying, out the purposes of this Act, compulsorily acquire for the Corporation land under the Land 
Acquisition Act, 1894 (I of 1894) and the acquisition of any land for any of the said purposes shall be 
deemed to be a public purpose within the meaning of that Act. So also the Corporation shall make 
available to the Revenue Department of the Government or to any Officer authorised in th is behalf by 
Government such fund as is required for the acquisition of the land  under sub-section (1). The Officer 
shall submit the account of such fund to the Corporation through the concerned Revenue 
Commissioner.  
27.  Transfer of Government lands to C orporation.— (1) For the furtherance of the objects of 
this Act the State Government may, by notification in the Official Gazette, upon such conditions as 
may be agreed upon between the Government and the Corporation, place at the disposal of the 
Corporation any lands vested in the State Government:  
Provided that, the State Government shall not place at the disposal of the Corporation any lands 
which are notified and included in a reserved forest.  
(2) After any such land has been so placed at the disposal of the Corporation, it shall be dealt with 
by the Corporation in accordance with the provisions of this Act or the rules or regulations made 
thereunder and the directions, if any, given by the State Government in this behalf.  
(3) If any land placed at th e disposal of the Corporation under sub -section (1) is not required by 
the Corporation, the State Government may, ask the Corporation to restore it to the State Government 
upon such terms and conditions as may be mutually agreed upon.  
28.  Power of Corpor ation to dispose of land, etc. — Subject to any rules made by the State 
Government under this Act, the Corporation may retain, lease, sell, exchange or otherwise dispose of 
16 The Maharashtra Godawari Marathwada Irrigation [1998 : Mah. XXIII 
                                                  Development Corporation Act, 1998 
any land, any building or other property vested in it, in such manner as it thinks f it for carrying out the 
purposes of this Act. 
CHAPTER VI 
FINANCE, ACCOUNTS AND AUDIT 
29.  Application of Corporation’s assets, etc. — All property, fund and other assets vesting in 
the Corporation shall be held and applied by it, for the purposes of this Act.  
30.  Fund of Corporation.— (1) The Corporation shall have and maintain its own fund, to which 
shall be credited,—  
(a) all moneys  received by the Corporation from the State Government by way of grants, 
subventions, loans, advances and the loans raised under this Act;  
(b) all fees, costs and charges received by the Corporation under this Act;  
(c) all moneys received by the Corporat ion from the disposal of lands, buildings and other 
properties, movable and immovable and other transactions;  
(d) all moneys received by the Corporation by way of water charges, rents and profits or 
from any other source.  
(2) The Managing Director of the  Corporation with prior approval of the Corporation may keep 
current and deposit accoun t with the State Bank of India or any other Nationalised Bank approved by 
the State Government in this behalf.  
(3) Such accounts shall be operated by such officers of the Corporation as may be authorised by it 
in this behalf.  
(4) Notwithstanding anything contained in sub-sections (2) and (3), the Corporation may keep on 
hand such sum as it thinks fit for its day -to-day transactions, subject to such limits and conditions , as 
may be prescribed.  
31. Contribution of Government to Corporation Fund. — (1) The State Government shall, by 
appropriation duly made in this behalf from time to time, provide an aggregate sum of not less than 
rupees 1[1950 crores,] to the Corporation Fund, as its share of the capital required by the Corporation, 
for the performance of the functions of the Corporation under this Act, and such contribution shall be 
paid in suitable instalments spread over a period of ten years from the date of e stablishment of the 
Corporation:  
Provided that, the State Government shall, by appropriation duly made in this behalf, initially 
contribute and pay a sum of rupees 185 crores to the Corporation Fund:  
Provided further that, the contribution made by the Government shall be exclusive of the 
expenditure incurred by the Government for and in connection with the establishment of the 
Corporation.  
(2) The capital provided by the State Government shall not carry any interest.  
32.  Grants, subventions, loans and advances to Corporation.— The State Government may, 
after due appropriation made by the State Legislature by law in this behalf, make such grants, 
subventions, loans and advances to the Corporation as it may deem necessary for the performance of 
the functions of th e Corporation under this Act; and all grants, subventions, loans and advances made 
shall be on such terms and conditions as the State Government may determine. 
33.  Power of Corporation to borrow.— (1) The Corporation may, subject to such conditions as 
may be prescribed in this behalf, borrow money from the financial institutions or non -resident Indians, 
                                                           
1  These figures and word was substituted for the figures and word “1300 crores” by Mah. 31 of 2000, s. 5. 
1998 : Mah. XXIII] The Maharashtra Godawari Marathwada Irrigation 17 
                                                   Development Corporation Act, 1998 
or from the open market by issue of guaranteed or unguaranteed bonds, debentures stocks and 
otherwise, for the purpose of providing itself with adequate resources.  
(2) The maximum amount which the Corporation may at any time have on loan under  
sub-section (1) shall not exceed rupees one thousand crores, unless the State Government fixes a higher 
maximum limit for this purpose.  
34.  Acceptance of deposits by Corporation. — The Corporation may accept deposits on such 
conditions as it deems fit from persons, authorities or i nstitutions, to whom allotment or sale of land or 
buildings or fishing rights is made or is likely to be made in furtherance of the objects of this Act.  
35.  Power to spend.— The Corporation shall have the authority to spend such sums as it thinks 
fit for the purposes authorised under this Act, from and out of the fund of Corporation referred to in 
section 30 or from the reserve and other funds referred to in section 38, as the case may be.  
36.  Expenditure on objects other than Irrigation and Power Projects.— It shall be competent 
for the Corporation to spend such sums as it thinks fit also on objects authorised under this Act other 
than Irrigation Projects and Hydro -Electric Power Projects and such sums shall be treated as common 
expenditure payable out of the fund of the Corporation before allocation under section 37 of this Act.  
37.  Allocation of expenditure chargeable to project on main objects. — The total capital 
expenditure chargeable to a project shall be allocated between the two main objects, Irrigation Projects 
and Hydro-Electric Power Projects, as follows, namely :—  
(a) Expenditure solely attributable to any one of the said two objects, including a 
proportionate share of overhead and general charges, shall be charged to that object; and  
(b) Expenditure common to both the said objects, including a proportionate share of 
overhead and general charges, shall be allocated to the said objects in proportion to the 
expenditure which, according to the estimate of the Corporation, would have been incurred in 
constructing a separate structure for that object less any amount determined under clause ( a) in 
respect of that object.  
38.  Reserve and other funds.— (1) The Corporation shall make prov

Excerpt shown. Open the full act in Lexace.

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