The Uttar Pradesh Forest Corporation Act 1974

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THE UTTAR PRADESH FOREST CORPORATION ACT, 19741
(U. P. ACT No. IV OF 1975)
Amended by
U. P. Act No. 23 of 2007
U. P. Act No. 24 of 2008
[Passed in Hindi by the Uttar Pradesh Legislative Assembly
on February 27 , 19 74, and by the Uttar Pradesh Legislative
Council on February 26, 1975.
Received the assent of the Governor on M arch 6, 19 75
under Article 20 0 of the Constitution of India and was published
in the Uttar Pradesh Gazette Extraordinary, dated March 13,
1975. ]
AN
ACT
to provide for the establishment of a Corporation for better
preservation, supervision and development of for ests and better
explanation of forest produce within the State and for matters connected
therewith.
IT IS HEREBY enacted in the twenty -fifth Year of the Republic of
India as follows :—
CHAPTER–I
Preliminary
Short title,
extent and
commencement
1. (1) This Act may be called th e U ttar Pradesh Forest
Corporation Act, 1974.
(2) It extends to the whole of the Uttar Pradesh.
(3) It shall come into force on such date as the State
Government may, by notification in the Gazette, appoint in this behalf.
Definitions 2. In this Act unless the context otherwise requires –
(a) “ Corporation” means the Uttar Pradesh Forest Corporation
established under section 3 ;
(b) “local body” means a Nagar Mahapalika, Municipal Board,
Town Area Committee, Notified area Committee, Zila Parishad Antarim
Zila Parishad Kshetra Samiti or Gaon Sabha ;
(c) Managing Director means the Managing Director of the
Corporation appointed under clause (a) of sub-section (1) of Section 4;
(d) “Prescribed” means prescribed by rules made under this Act;
(e) “regulations” means regulations made under this Act ;
(f) “State Government” means the Government of Uttar Pradesh.
——————————————————————————————————————————
1. For Statement of Objects and Reasons, See U. P. Gazette Extraordinary, dated August 22, 1975.
[The Uttar Pradesh Forest Corporation Act, 1974]
458

CHAPTER — II
Establishment and Constitution of the Corporation
Establishment
of the
Corporation
3. (1) The State Governments shall , by notification in the
Gazette and with effect from a date to be specified therein, constitute a
corporation by the name of the Uttar Pradesh Forest Corporation.
(2) The Corporation shall be a body corporate having perpetual
succession and a common seal and may sue and be sued in its
corporate name and shall have the power to acquire, hold and dispose
of property for the purposes of this Act.
(3) The Corporation shall for all purposes be a local authority.
(4) The Corporation shall have its head office at Lucknow and
may have offices at such other places as it may consider necessary.
Constitution of
the Corporation
4. (1) The Corporation shall consist of a Chairman, to be
appointed by the State Government and the following other members,
namely —
(a) five members to be appointed by the State Government from
amongst the officers serving under it, one of whom shall be appointed
as the Managing Director of the Corporation ; and
1[ (b) not more than three non -official members to be appointed
by the State Government from amongst the persons who in its opinion
possess experience in matters relating to the preservation and
development of forests. The State Government may appoint one or
more such non-official members as the Deputy Chairman.]
(2) The appointment of the Chairman and other members shall
be notified in the Gazette.
Disqualifications
for being
Chairman or
other member
5. A person shall be disqualified to be appointed as, and for
being the Chairman or other member of the Corporation, if he —
(a) has been convicted of an offence which in the opinion of the
State Government involves moral turpitude ; or
(b) is an undischarged insolvent ; or
(c) is physically or mentally inc apable of acting as such
member; or
(d) in the opinion of the State Government has failed to act or
has become incapable of acting in the best interests of the Corporation
or has so abused his position as the Chairman or other member, as to
render his continuance as such detrimental to the interests of the
Corporation or the general public ; or
(e) has directly or indirectly by himself or by any partner,
employer or employee any share or interest, whe ther pecuniary or of
any other nature, in any contract or employment, with, by, or on
behalf of the Corporation ; or
——————————————————————————————————————————
1. Subs. by sec. 2 of U. P. Act no. 23 of 2007.

[The Uttar Pradesh Forest Corporation Act, 1974]
460
(f) if a director, secretary, man ager or other officer 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 his or the company in 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
property or any agreement for the same ;
(ii) any agreement for loan of money, or any secur ity for
payment of money only ;
(iii) any newspaper in which any advertisement relating to the
affairs of Corporation is published ;
(iv) an occasional sale to the Corporation up to a value not
exceeding ten thousand rupees in any year, of any article in which
he or the company regularly trades.
Explanation— A person shall not be deemed to have any
share or interest in any contract or employment with, by or on behalf
of the Corporation by reason only of his being a share -holder of the
company which has such share or interest.
Term of office
of the
Chairman and
non-official
members
6. (1) The term of office of the Chairman, if he is not an
officer serving under the State Government, or of a non -official
member of the Corporation shall be three years u nless it is
determined earlier by the State Government by notification in the
Gazette.
(2) The Chairman or a non -official member of the Corporation
may at any time, by writing under his hand addressed to the State
Government, resign his office and on su ch resignation being
accepted he shall be deemed to have vacated his office.
Casual vacancy 7. (1) If the Chairman or any non -official member is, by
infirmity or otherwise, rendered temporarily incapable of carrying on
his duty or is absent otherwise, i n circumstances not involving the
vacation of his appointment, the State Government may appoint
another person to officiate for him and to carry out his functions
under this Act.
(2) A casual vacancy created by the resignation of the
Chairman or any no n-official member under sub -section (2) of
section 6 or for any other reason shall be filled by fresh appointment
and the Chairman or non -official members so appointed shall hold
office for the remainder of the term of the Chairman or, as the case
may be, of the non -official member in whose place he is so
appointed.
Appointment of
employees of
the Corporation
8. (1) The Corporation may appoint such employees as it
considers necessary for the efficient performance of his functions
under this Act :

[The Uttar Pradesh Forest Corporation Act, 1974]
462
Provided that the appointment of such employees as the State
Government may, by general or special order, specify, shall be made in
consultation with the Public Service Commission, Uttar Pradesh or
with the approval of the State Government, as the State Government
may direct.
(2) The Corporation may, with the previous approval of the
State Government, appoint an employee of the Central Government or
the State Government or local body on such terms and conditions as
may be agreed upon.
Salaries and
allowances
9. (1) The Chairman and non-official members shall be entitled
to draw such travelling and daily allowances from the fund of the
Corporation as may be determined by regulations.
(2) The Managing Director and other employees of the
Corporation shall be entitled to receive from the fund of the
Corporation such salaries and allowa nces and shall be governed by
such conditions of service as may be determined by regulations.
Control by
Managing
Director
10. Subject to the superintendence of the Corporation, the
general control over the employees of the Corporation shall be vested
in the Managing Director.

Meetings
11. (1) The Corporation shall meet at such times and places
and shall observe such procedure in regard to the transaction of
business in its meeting as may be determined by regulations.
(2) The Chairman or in his absen ce, a member of the
Corporation elected by the members present from amongst themselves,
shall preside at the meeting of the Corporation.
(3) All questions at the meetings of the Corporation shall be
decided by majority of votes of the members present and voting and in
the case of equality of votes, the Chairman, or in his absence the
member presiding, shall have a second or Casting vote.
(4) The Chairman may invite any person to attend a meeting of
the corporation for the purpose of assisting or adv ising it on any
matter and the person so invited may take part in the discussions of
the Corporation but shall have no right of vote.
Disqualification
for
participation in
proceedings on
account of
interest
12. A member who is directly or indi rectly con cerned 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 thereof
when any such contract, loan, arrangement or proposal is discussed
unless his presence is required by other members for the purpose of
eliciting information, and no member so required to be present shall
vote on any such contract, loan, arrangement or proposal.
Acts not to be
invalidated by
vacancy etc.
13. No act done or proceedings taken under this Act, by the
Corporation shall be deemed to be invalid by reason merely of any
vacancy or defect in the constitution of the Corporation.
[The Uttar Pradesh Forest Corporation Act, 1974]
464
CHAPTER — III
Functions and powers of the Corporation
Acts not to
be
invalidated
by vacancy
etc.
14. Subject to the provisions of this Act, and to any general or
special directions of the State Go vernment, the functions of the
Corporation shall be following, namely —
(a) to undertake removal and disposal of trees and exploitation
of forest resources entrusted to it by the State Government ;
(b) to prepare projects relating to forestry within the State ;
(c) to undertake research programmes relating to forests and
forest products and render technical advice to State Government on
matters relating to forestry ;
(d) to manage, maintain and develop such forests as are
transferred or entrusted to it by the State Government ;
(e) to perform such functions as the State Government may
from time to time require.
Powers of the
Corporation
15. (1) The Corporation shall, subject to the provisions of this
Act, have power to do anything which may be necessa ry or expedient
for carrying out its functions under this Act.
(2) Without prejudice to the generality of the foregoing
provision, such power shall include the power —
(a) to set up workshops or factories for proceeding forest raw
material ;
(b) to es tablish, maintain and operate laboratories and
experimental and research stations ;
(c) to enter into such contract or arrangement with any person
as the Corporation may deem necessary for performing its functions
under this Act ;
(d) to borrow money, issue debentures and manage its fund ;
and
(e) to incur expenditure and grant loans and advances to such
persons as the Corporation may deem necessary for performing its
functions under this Act.
Power of the
Corporation
to undertake
projects at
the instance
of others
16. The Corporation may undertake the execution of any
afforestation project at the request of the State Government or, with
the previous approval of the State Government, at the request of any
other person on such terms and conditions as may be agreed upon.
CHAPTER — IV
Finance, Accounts and Audit
Fund of the
Corporation
17. (1) The Corporation shall have its own fund which shall be
a local fund and to which shall be credited all moneys rec eived by or
on behalf of the Corporation.

[The Uttar Pradesh Forest Corporation Act, 1974]
466
(2) The fund shall be applied towards meeting expenses
incurred by the Corporation in the discharge of its functions under
this Act and for no other purpose.
(3) The money of the Fund sha ll be kept in the State Bank of
India or in the Uttar Pradesh Co -operative Bank or in any Scheduled
Bank :
Provided that nothing in this sub -section shall be deemed to
preclude the Corporation from retaining such balances in case as may
be necessary for current payment or from investing any portion of the
fund not required for immediate expenditure in any of the securities
described in section 20 of the India Trust Act, 1882.
Powers of the
Corporation
to borrow
18. (1) The Corporation may from time to t ime with the
previous sanction of the State Government and subject to the
provisions of this Act and to such conditions as the State Government
may by general or special order determine, borrow any sum required
for the purposes of this Act, whether by the issue of bonds or stocks or
otherwise or by making arrangement with bankers.
(2) Stock issued by the Corporation under this section shall be
issued, transferred, dealt with and redeemed in such manner as the
State Government may, by general or special order, direct.
Subventions
to the
Corporation
19. The State Government may, after due appropriation by law
of the State Legislature, from time to time make subventions to the
Corporation for the purposes of this Act on such terms and conditions
as the State Government may determine.
Loans to the
Corporation
20. The State Government may, from time to time, advance
loans to the Corporation for the purposes of this Act on such terms
and conditions as the State Government may determine.
repayment of
loans
21. (1) The Corporation shall, for the purpose of repayment of
any loan raised by it establish a Sinking Fund in such manner as may
be prescribed.
(2) The Sinking Fund shall be maintained, invested and applied
in such manner as may be prescribed.
Budget 22. The Corporation shall prepare, in such form and at such
time every year as the State Government may direct, budget in respect
of the financial year next ensuing, showing the estimated receipts and
expenditure of the Corporation.
Accounts and
Audit
23. (1) The Corporation shall maintain proper accounts and
prepare an annual statement of accounts including balance -sheet in
such form as the State Government may direct.
1[(2) The accounts of the Corporation shall be subject to audit
annually by th e Comptroller and Auditor General of India or any
person authorized by him, and any expenditure incurred by him in
connection with such audit shall be payable by the Corporation to the
Comptroller and Auditor General of India or any person authorized by
him.
——————————————————————————————————————————
1. Subs. by s. 2 of U.P. Act no. 24 of 2008.

[The Uttar Pradesh Forest Corporation Act, 1974]
468
1[(3) The Comptroller and Auditor General of Ind ia or any
person authorized by him in connection with the audit of accounts of
the Corporation shall have the same rights, privileges and authority in
connection with such audit as the Comptroller and Auditor General of
India has in connection with the aud it of the accounts of an
Organization and, in particular, shall have right to demand the
production of books, accounts, connected vouchers and other
document and papers and to inspect the office of the Corporation.
(4) The accounts of the Corporation a s certified by the
Comptroller and Auditor General of India or any person authorized by
him in that behalf together with the audit report thereof shall be
forwarded annually to the State Government. ]1
(5) The State Government shall —
(a) cause the accou nts of the Corporation, together with the
audit report thereon, received by it under sub -section (4) to be laid
annually before each Houses of the State Legislature ; and
(b) cause the accounts of the Corporation to be published in the
prescribed manner and make available copies thereof for sale at a
reasonable price.
Surcharge 24. (1) The Chairman, the Managing Director or any other
member or any employee of the Corporation shall be liable to
surcharge for the loss, waste or misapplication of any mone y or
property of the Corporation if such loss, waste or misapplication is a
direct consequence of his neglect or misconduct while acting as such
Chairman, Managing Director or other member or employee.
(2) The procedure of surcharge shall be such as may be
prescribed.
(3) Any amount found to be involved in any such loss, waste or
misapplication as a result of proceedings for surcharge shall be
recoverable as arrears of land revenue.
(4) Nothing in sub -section (3) shall prevent the Corporation
from deducting any amount referred to therein from any sum payable
by the Corporation to Chairman, Managing Director or other member
or employee, as the case may be.
CHAPTER — V
External Control
Direction on
questions of
policy
25. (1) In the discharge of its functions under this Act, the
Corporation shall be guided by such directions on questions of policy
as may be given to it by the State Government.
(2) If any question arises whether any matter is or is not a
matter as respects which the State Government may issue a direction
——————————————————————————————————————————
1. Subs. by Sec. 2 of U. P. Act no. 24 of 2008.

[The Uttar Pradesh Forest Corporation Act, 1974]
470
under sub -section (1), the decision of the State Government thereon
shall be final.
Annual
Reports
26. (1) The Corporation shall, as soon as may be after the end
of each financial y ear, prepare and submit to the State Government
before such date and in such form as the State Government may
direct, a report giving an account of its activities during the previous
financial year, and such report shall also give an account of the
activities if any, which are likely to be undertaken by the Corporation
in the next financial year and the State Government shall cause such
report to be laid before each House of the State Legislature, as soon as
may be, after it is received by the State Government.
(2) The Corporation shall furnish to the State Government at
such times and in such form and manner as the State Government
may direct such statistics and returns and such particulars in regard
to any proposed or existing activities of the Corporat ion or any other
matter under the control of the Corporation as the State Government
may from time to time require.
CHAPTER — VI
Miscellaneous
Local Bodies
to assist the
Corporation
27. (1) Every local body shall render such assistance and
furnish such information to the Corporation and make available for its
inspection and examination such records, maps, plans and other
documents as it may require in connection with the performance of its
functions under this Act.
(2) Notwithstanding anything contained in any other law for the
time being in force, the State Government may give to any local body
such directions as in its opinion are necessary or expedient for
enabling the Corporation to perform its functions under this Act and
thereupon it shall be t he duty of the local body to comply with such
directions.
Protection for
action taken
in good faith
28. No suit, prosecution or other legal proceedings shall lie
against the State Government or the Corporation or the Chairman or
the Managing Direction o r any other member thereof or any employee
of the State Government or the Corporation for anything which is in
good faith done or intended to be done under this Act or any rule made
thereunder.
Members etc.
deemed to be
public
servants
29. The Chairman, Managing Direction or other members and
employees of the Corporation shall be deemed, while acting or
purporting to act in pursuance of any of the provisions of this Act to be
public servants within the meaning of section 21 of the Indian Penal Code.
Authentication
of
proceedings,
orders and
other
instruments of
the
Corporation
30. All proceedings of the Corporation shall be authenticated
by the signature of the Chairman or as the case may be, of the member
presiding in the meeting of the Corporation i n the absence of the
Chairman, and all orders and other instruments issued by the
Corporation shall be authenticated by the signature of such employee
of the Corporation as may be authorized by it in this behalf.
[The Uttar Pradesh Forest Corporation Act, 1974]
472
Delegation of
powers
31. (1) Subject to the provisions of this Act and the rules made
thereunder the State Government may by general or special order
delegate either unconditionally or subject to such conditions including
the condition of review by itself, as may be speci fied in the order to the
Corporation such of its powers and duties under the Indian Forest Act,
1927 or any other law for the time being in force, as it may deem
necessary.
(2) Subject to the provisions of this Act and rule made
thereunder the Corporati on may, by general or special order, delegate
either unconditionally or subject to such conditions, including the
condition of review by itself, as may be specified in the order, to the
Chairman or the Managing Director or any other member or employee
of the Corporation such of its powers and duties not being the powers
and duties delegated to it under sub -section (1), as it may deem
necessary.
State
Government
may invest
the officers
with powers
of Forest
Officer
32. The State Government may invest the Managing Director
or any employee of the Corporation with all or any of the powers of a
Forest Officer under section 72 of the Indian Forest Act, 1927, and the
Managing Director or such employee in relation to such powers shall
be deemed to be a Forest Of ficer within the meaning of clause (2) of
section 2 of the Indian Forest Act, 1927.
Power to
make rules
33. (1) The State Government may, by notification in the
Gazette, make rules for carrying out the purposes of this Act.
(2) In particular, and without prejudice to the generally of the
foregoing power, such rules may provide for all or any of the following
matters, namely —
(a) the manner in which the Sinking Fund shall be established,
maintained, invested and applied under section 21 ;
(b) the proced ure in respect of surcharge under section 24
including the provision of appeal, if any, in respect thereof ;
(c) any other matter which has to be or may be prescribed.
(3) All rules made under this Act shall as soon as may be after
they are made, be laid before each House of the State Legislature while
it is in session for a total period of not less than thirty days extending
in its one session or more than one successive sessions, and shall,
unless some later date is appointed, take effect from the dat e of their
publication in the Gazette subject to such modifications or annulments
as the two Houses of the Legislature may, during the said period, agree
to make so however, that any such modifications or annulments shall
be without prejudice to the validi ty of anything previously done
thereunder.
Regulations 34. (1) The Corporation may, with the previous approval of the
State Government make regulations not inconsistent with this Act and
the rules made thereunder for the administration of the Corporation.
[The Uttar Pradesh Forest Corporation Act, 1974]
474
(2) In particular, and without prejudice to the generality of the
foregoing power, such reg ulations may provide for all or any of the
following matters, namely —
(a) salaries and allowances and conditions of service of the
Managing Director and employees of the Corporation and travelling
and daily allowances to be paid to the Chairman and non -official
members ;
(b) times and places of, and the procedure in regard to the
transaction of business in the meetings of the Corporation ;
(c) any other matter for which provision is to be or may be
made in the regulations.
(3) Until any regulations are made by the Corporation under
sub-section (1) any regulations which may be so made by it, may be
made by the State Government, and any regulations so made may be
altered or rescinded by the Corporation in exercise of its power under
sub-section (1).
Repeal and
Saving

U. P.
Ordinance
no. 15 of
1974
35. (1) The Uttar Pradesh Forest Corporation Ordinance, 1974
is hereby repealed.
(2) Notwithstanding such repeal, anything done or any action
taken under the said Ordinance shall be deemed to have been do ne or
taken under this Act as if this Act had come into force on September
13, 1974.

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