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The Meghalaya Commercial Crops Development Board Act No.6, 1997

Meghalaya · state statute
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THE MEGHALAYA ACT 6 OF 1997 
 
(As passed by the Meghalaya Legislative Assembly) 
Received the assent of the Governor on the 3rd May, 1997 
Published in the Gazette of Meghalaya, Extra-ordinary issue, dated 3rd May, 1997 
 
THE MEGHALAYA COMMERCIAL CROPS DEVELOPMENT BOARD ACT, 
1996 
 
An 
 
Act 
 
to provide for setting up a Board for promoting the cultivation and processing 
And marketing of commercial crops in this State and for matters connected therewith 
 
Be it enacted by the Legislature of the State of Meghalaya in the Forty -seventh Year of the 
Republic of India as follows:- 
 
Short title 
commencement 
and duration. 
1.  1. This Act may be called the Meghalaya Commercial Crops 
Development Board Act, 1996. 
 
2. It extends to the whole of the State of Meghalaya  
 
3. It shall come into force on such date as the State Government may 
by notification in the official Gazette appoint.  
 
Definitions 2. In this Act, unless the context otherwise required- 
  
(a) “Board” means the Meghalaya Commercial Crops Development 
Board constituted under sub-section (1) of section 3; 
  
(b) “Chief Executive Officer” means the Chief Executive Officer of the 
Board Appointed under sub-section (1) of Section 5;  
 
(c) “commercial crops” include potatoes 
1“and tapioca” for processing 
broom stick, tezpat ta, cotton, rubber, tea, coffee, cashewnut, black 
pepper, ginger, turmeric, betel leaf, arecanut citrus fruits,  
2“temperatan fruits edible bamboo”  medicinal or aromatic plants 
and any crops as the State Government may by notification in the 
Official Gazette specify
 
;  
(d) “Commodity Board” means the Coffee Board, the Tea Board, the 
Rubber Board or as the case may be, Spices Board set up by the 
Central Government; 
 
 
 
                                                           
1 Added by Amendment of Act No.3 of 2001,Sec 2 
2 Added by Amendment of Act No. 3 of 2001, Sec 2 
 
 
   
(e) “prescribed” means prescribed by rules or, as the case may be, by 
regulations;  
 
(f) “regulations” means regulations made by the Board under this Act; 
  
(g) “rules” means rules made by the State Government under this Act; 
  
(h) “section” means a section of this Act;  
 
(i) “State” means the State of Meghalaya; and 
  
(j) “State Government” means the Government of the State of 
Meghalaya  
 
 
Constitution of 
the Board 
3. (1) There shall be constituted by the State Government by notification 
the Official Gazette a Board to be called the Meghalaya 
Commercial Crops Development Board from such data as may be 
specified in the notification. 
 
(2) The Board shall be a body corporate having perpetual succession 
and a common seal with powers to acquire, hold, mortgage and 
dispose of property and to enter into contract and may by the said 
name sue and be sued. 
 
(3) The headquarters of the Board shall be at Shillong or at such other 
place in the State as the State Government may by notification in 
the Official Gazette specify. 
 
 
Membership in 
the Board  
 
4. (a) As a Chairperson, the Minister-in-Charge Soil Conservations;  
 
(b) As Vice-Chairperson, the Chief Secretary to the State Government; 
 
(c) As members, the Principal Secretary or the Commissioner and 
Secretary or the Secretary of each of the Department of Soil 
Conservation, Finance, Planning, Revenue and Agriculture of the 
State Government, one officer form the National Bank for 
Agriculture and Rural Development and two members of the State 
Assembly to the nominated by the Government.  
 
(d) As the member Secretary, the Chief Executive Officer  
 
 
 
 
 
 
 
Appointment 
of Chief 
Executive 
Officer, 
Officers and 
Staff and 
conditions of 
service  
 
5. (1) The Chief executive Officer shall be appointment by the State 
Government. 
 
(2) Other Officers and Staff of the Board shall be appointed by the 
Board as may from time to time be necessary subject to such control 
and restrictions, if any, as the State Government may  think fit to 
impose. 
 
(3) The Salaries and allowances and other conditions of Service of the 
Chief Executive Officer and of the Officers and staff of the Board 
shall be as may by rules be prescribed. 
Functions of 
the board  
 
6. (4) It shall be the duty of the Board to promote by such measures as it 
thinks fit, the cultivation, Processing and marketing of commercial 
crops in the State.  
 
(5) Without prejudice to the generally of the provisions contained in 
sub-section (1) the measures referred to therein may include:- 
  
(a) Advising the cultivators in land use and land development 
particularly for cultivation of commercial crops;  
 
(b) Motivating cultivators to take up cultivation of commercial crops 
and assisting them with technical advice;  
 
(c) Exploring, as far as may be, possibilities of introducing new 
cultivation techniques;  
 
(d) Assisting cultivators to procure quality seeds and other input; 
 
(e) Advising any person interested in setting up processing units and 
assisting him in establishing linkages with factories and other 
processing units or with a commodity Board; 
  
(f) Creating marketing infrastructure and finding outlets for the 
produces;  
 
(g)  1“Motivating cultivators to take up Commercial Nurseries to 
raise quality seed or crops planting, Materials”
 
;  
(h) “extending into financial assistances to cultivators and 
entrepreneurs in processing and Marketing to help them achieve 
the objective
 
 
;” 
 
                                                           
1Substituted by Amendment Act No.3 of 2001, Sec 2 Earlier the words read as :- 
(g) assisting with advice any person engaged in the cultivation, processing or marketing of commercial crops in getting 
financial assistance from banks and other financial assistance from banks and other financial institutions or assistance from a 
commodity Board; and 
(h) any other measure as may be considered necessary for the purpose of promoting and developing the cultivation of 
commercial crops. 
 
 
  (i) 1
 
“entering into financial agreement with commodity Board, 
Bank or any other Financial Institution for the promotion and 
execution of any Commercial Crops Development Scheme;” 
(j) 
 
“mortgage or properties of the Board as security for obtaining 
credit from Banker or any Financial Institution;” 
(k) 
 
“Granting or advancing loans to any Cooperative Society 
registered under  the Meghalaya Cooperative Societies Act 
(Assam act 1 of 1948 as adapted by Meghalaya) or any 
recognized group or any individual;” 
(l) 
 
“assisting with advance any person engaged on the Cultivation, 
process or Marketing of Commercial Crops in getting, financia l 
assistance from Banks and other financial Institutions or 
assistance from a Commodity Board and.” 
(m) 
 
 “any other measure as may be considered necessary for the 
purpose of promoting and developing the cultivation of 
Commercial Crops.” 
(3) Notwithstanding anything contained in this section the Board may, 
with approval of the State Government, by itself borrow , money 
from banks and financial and other institutions and advance the 
same to cultivators or persons engaged in processing and marketing 
of commercial crops on such terms and conditions as may by rules 
be prescribed. 
 
(4) 
2
 
“Subject to the provisions of this Act and Rules framed 
thereunder, the Board may, in the event of failure of a Loanee to 
repay the load taken, temporarily  take possession of the land 
mortgaged or hypothecation of the produce/harvest to be  affected 
by transaction of mark eting/trading by the board till such time the 
loan with accrued interest are fully recovered. 
(5) 
 
As soon as the Loanee could repay the loa n with accrued interest 
the Board s hall release to the Loanee the land so temporary taken 
over by it.” 
 
 
 
 
 
 
 
                                                           
1Inserted by Amendment Act No.3 of 2001, Sec. 1 (2) 
2 Added by Amendment act No.3 of 2001 
  (6) 1“
Funds 
maintenance 
and raising 
Notwithstanding anything contained in this Act the Board may, 
with the prior approval of the State Government acquire lands for 
the purpose of raising its own plantations or nurseries or any crop 
or for demonstrating new techniques of raising planting materials or 
cultivation or for the purpose of establishment of its office 
processing units or storage or marketing units and in such case the 
provisions of land Acquisition Act, 1994 shall apply.” 
7. (1) The Board shall maintain its own funds into which all money it 
receives shall be credited into and all necessary payments made 
therefrom. 
 
(2) The money I the fund shall be deposited in the State Bank of India, 
the Meghalaya Co -operative Apex Bank Ltd. Or any nationalized 
bank 
2“as may be approved by the State Government
 
”. 
(3) The Board may accept grants, subventions and loans from the 
Central or State Government and other Institutions and, with 
previous approval of the State Government, borrow money from 
banks and from financial and other institutions. 
 
Accounts and 
audit 
8. (1) The Board shall maintain the accounts in such form and manner as 
my by rules be prescribed. 
 
(2) 3“The accounts of the board shall be audited by the Comptroller 
and Auditor General of India and the audit report shall be 
forwarded to the State Government for action as it may deem 
necessary and for placing it before the State legislature
 
. 
(3) General Account of the Board shall be audited once a year by 
Chartered Accountant as such the Board may appoint
 
.” 
Submission of 
Annual 
Reports 
9. (1) At the end of each financial year the Board shall prepare an Annual 
report on its activities during  the year preceding and shall send a 
Report along with the financial statement to the State Government. 
 
(2) The Report submitted under sub- section (1) shall be laid before the 
State Legislature with such comments as the State Government may 
deem fit to make. 
 
4“The State 
Government to 
make 
subventions or 
advance loans 
to the Board  
9A 
 
Notwithstanding anything contained in the Act, the State Government  
may from time to time and on such terms and conditions make 
Suventions or advance loans to the Board for the purpose of this Act.” 
                                                           
1Added by Amendment Act No.3 of 2001.  
2Inserted by Amendment Act No.3 of 2001.  
3 Substituted by Amendment Act No.3 of 2001, Earlier the words read as (2) The accounts of the board shall be audited by the 
Comptroller and Auditor General of India and the audit report shall be forwarded to the State Government for action as it may  
deem necessary and for placing it before the State Legislature. 
4Inserted by Amendment Act No.3 of 2001.  
 
Financial  10. When the Board borrows money from banks and from financial and 
other institutions for the purposes of this act the State Government may 
guarantee, in such manner and subject to such conditions as it may 
think fit, for the repayment of the money  borrowed and for any interest 
that may be due therein. 
 
Direction by 
the State 
Government 
11. The State Government m ay from time to time issue directions 1“for 
carrying out” the purposes of this Act and the Board shall comply with 
such direction2
Dissolution of 
the Board  
 
(s). 
12. If at any time the State Government is satisfied that the Board is unable 
to discharge or  perform its functions and duties or that it is otherwise 
necessary in public interest to do so, it may by notification dissolve the 
board with effect from such date as it may specify and on such date as 
it may specify and on such dissolution- 
 
(a) all properties, funds, rights and liabilities of the Board shall vest 
in the State Government, and 
 
(b) the Chairman, Vice- Chairperson and members of the Board 
shall accordingly cease to hold office. 
 
Power to make 
rules 
13. (1) The State Government may, by notification in the Official Gazette, 
make rules for carrying out the purposes of this Act. 
  
(2) Without prejudice to the generally of the foregoing powers the rules 
may provide for-  
 
(a) The appointment, salaries and allowances and conditions of 
service of the Chief Executive Officer and of the Officers and 
staff of the Board;  
 
(b) The terms and conditions for advancing loans by the Board; 
  
(c) The form and manner in which the account and Bank borrowing 
are to be maintained and the budget estimates are to be prepared  
by the Board.  
 
(d) Matters to be included in the annual reports and the time the 
reports are to be submitted by the Board to the State 
Government; and  
 
(e) Any other matter which may by rules be prescribed. 
  
 
 
 
 
                                                           
1Substituted by Amendment Act No. 3 of 2001,Earlier the words read as “in connection with” 
2Added by Amendment Act No.3 of  2001.  
 
 
Power to make 
regulations. 
14. (1) The Board may, with previous sanction of the State Government by 
notification in the Official Gazette make regulations not 
inconsistent with the Act and the rules made there under for the 
purpose of giving effect to the provisions of this Act. 
 
  (2) Without prejudice to the generally of the foregoing provisions the 
regulations may provide for - 
  
(a) the procedure and manner for holding meetings and conduct of 
business; 
  
(b) fixing the numbers of members required to form a quorum at a 
meeting;  
 
(c) the power and duties of the Chairperson, the Vice -Chairperson 
and the Chief Executive Officer;  
 
(d) the operation of the funds and bank accounts;  
 
(e) the power for incurring expenditure by Officers of the Board; 
  
(f) the manner of discharging loans and the general terms and 
conditions thereof;  
 
(g) recovery of loans;  
 
(h) the registers and records to be maintained by the Board; 
  
(i) the board criteria for implementing the provisions of the Act in 
the field; and  
 
(j) any other matter which may by regulations be prescribed. 
 
 
 
 
 
 
 
THE UNDERLINED TEXT INDICATES THE INSERTION/SUBSTITUTION OF THE SUBSEQUENT 
AMENDMENTS TO THE MEGHALAYA COMMERCIAL CROPS DEVELOPMENT BOARD ACT,  
1996 (ACT NO. 6 OF 1997), AMENDED AND UPDATED UPTO THE YEAR - ACT 3 OF 2001. 

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