LexThe uttar pradesh khadi and village industries board act, 1960
Uttarakhand · state statute
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THE UTTAR PRADESH KHADI AND VILLAGE INDUSTRIES
BOARD ACT, 19601
[U.P. ACT No. X of 1960]
Amended by-
U. P. ACT No. XXIV OF 1966
U. P. ACT No. XIV OF 1975
U. P. ACT No. XXXIX OF 1976
[Passed in Hindi by the Uttar Prade sh Legislative Assembly on April 7, 19 60 and
by the Uttar Pradesh Legislative Council on April 12, 1960.
Received the assent of the Governor on April 22, 1960, under Article 200 of ‘the
Constitution of India ’, was published in the Uttar Pradesh Gazette, Extraordinary dated
April 26, 1960.]
AN
ACT
to provide for the establishment of a Board for the development of Khadi and
Village industries in Uttar Pradesh and matters connected therewith.
It is hereby enacted in the Eleventh Year of the Republic of India as follows:--
CHAPTER I
PRELIMINARY
Short title,
extent and
commencement
1. (1) This Act may be called the Uttar Pradesh Khadi and Village Industries Board
Act, 1960.
(2) It extends to the whole of Uttar Pradesh.
(3) This section shall come into force at once and the remaining provisions of the
Act, shall come into force on such date as the State Government may, by
notification2 in the official Gazette, appoint in this behalf.
Definitions
2. In this Act, unless there is anything repugnant in the subject or context-
(i) " Board" means the Uttar Pradesh Khadi, and Village Industries
Board established under section 4;
(ii) "Chairman" means the Chairman of the Board;
[(ii-a) ['Chief Executive Officer' and ‘Additional Chief Executive
Officer’ means respectively the Chief Exec utive Officer and the Additional
Chief Executive Officer of the Board appointed under section 10;]4
(ii-b) 'Financial Advisor' and ‘Accounts Officer ’ respectively means
the Financial Advisor and Accounts Officer of the Board appointed under
section 10 ; ]3
1. For Statement of Objects and Reasons, see Uttar Pradesh Gazette, Extraordinary, dated April 8,
1960.
2. Remaining previsions of the Act came into force with effect from September 14, 1960, vide
Industries (A) Department, notification no. 2984(4)-18-A—457-60, dated September 14, 1966.
3. Added by section 2 (a) of U.P. Act No. 11 of 1983.
4. Substituted by section 2 of U.P. Act No. 15 of 1992.
11
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 3-5]
(iii) "Khadi" means any cloth woven on handlooms in India from
cotton, silk or woollen yarn hand -spun in India or from a mixture of any two
or all of such yarns;
(iv) ".Member" means a member of the Board and includes its
Chairman;
(v) "Prescribed" means prescribed by rules made under this Act;
(vi) "Regulations" means regulations made under section 37 ;
(vii) [ *** ]1
3[(vii-a) "Vice-Chairman" means Vice-Chairman of the Board: and]
(viii] "Village Industries" means all or any of the industries specified in
the Schedule and includes an y other industry deem ed to be specified in the
Schedule by reason of a notification under section 3.
Power to add
to the Schedule
3. (1) The State Government may, on its own motion or on the recommendation of
the Board, declare by notification in the official Gazette, any other industry
to be a village industry to which this Act applies, and thereupon the industry
so declared shall be deemed to be an industry specified in the Schedule for
the purposes of this Act.
(2) A copy of every notification issued under sub-section (1) shall be laid before
each House of the State Legislature, as soon as may be, after it is issued.
CHAPTER II
ESTABLISHMENT OF THE BOARD
Establishment
of the Board
4. There shall be established, by notification in the official Gazette, a Board, to
be called the Uttar Pradesh Kha di and Village Industries Board, which shall
be a body corporate having perpetual succession and a common seal, with
power, subject to the provisions of this Act, to acquire, hold and dispose of
property and to contract, and may, by the said name, sue and be sued.
[Constitution
of the Board
5. (1) The Board shall consist of the following members; namely :--
(a) official members:-
(i) Minister Incharge of Khadi and Village Industries in the State
Government, who shall be the Chairman ;
(ii) Director of Industries, Uttar Pradesh or his nominee not below the
rank of a Joint Director;
[(iii) Secretary to the Government of Uttar Pradesh Incharge of Khadi
and Village Industries, or his nominee not below the rank of a Deputy
Secretary;]2
1. Omitted by section 2(b) of U.P. Act No. 11 of 1983.
2. Substituted by section 3(a) of U.P. Act No. 15 of 1992.
12
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 6]
Act No. LXI
of 1956
(iv) Secretary to the Government of Uttar Pradesh in the Finance
Department or his nominee not below the rank of a Deputy Secretary ;
(v) Secretary to the Government of Uttar Pradesh in Rural Development
Department or his nominee not below the rank of a Deputy Secretary;
3[2[(vi) Secretary to the Government of Uttar Pradesh in the Planning
Department or his nominee not below the rank of a Deputy Secretary;
(vi-a) Chief Executive Officer or, if he is already a member of the Board
in another capacity, the Additional Chief Executive Officer;]2
(b) Non-official members :-
(vi) {seven}4 non-official members to be appointed by the State
Government from amongst persons who in its opinion are qualified as having
had experience and shown capacit y in matters relating to development of
Khadi and Village Industries.]3
(2) The State Government shall appoint a Vice -Chairman from amongst the non-
official members in consultation with the Chairman of the Khadi and Village
Industries Commission establis hed under the Khadi and Village Industries
Commission Act, 1956.
(3) The appointment of every non -official member sha ll be notified in the
Gazette.]1
[Disqualifi-
cation for
being member
6. A person shall be disqualified for being chosen as or for being a member of
the Board if he --
(a) has been convicted of an offence which in the opinion of the State
Government involves moral turpitude ; or
(b) is an undercharged insolvent; or
(c) is of unsound mind and has been so declared by a competent court; or
(d) holds, except as provided in sub -section (2) of section 12, any office
Of profit under the Board; or
(e) has directly or indirectly by himself or by any partner, employer or
employees, any share or interest, whether pecuniary or of another nature, in
any contract or employment with , by or on behalf of the Beard; or
(f) is a Director or a Secretary, Manager, or other officer of any
company or co-operative or other society which has any Sha re or interest in
any contract or employment with, by, or on behalf of the Board.
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 Board by reason only of
his being a share-holder of a company or co-operative or other society which
has such share or interest.
1-Substituted by section 3 of U.P. Act No. 11 of 1983.
2-Added by section 3(b) of U.P. Act No. 15 of 1992.
3-Substituted by Uttranchal Act, 2002.
4- subs. by section 2 of Uttrakhand act no. 13 of 2015.
13
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 6A-7]
Term of office
of non-official
members
6-A (1) A non -official member of the Board shall hold office for a period of two
years unless his term is determined earlier by the State Government by
notification in the Gazette :
Provided that the State Government may, from t ime to time, by
notification in the Gazette, extend the term of office of such member by a
period not exceeding one year in the aggregate,
(2) The term of the office of the Vice Chairman shall be co -terminus with the
term of his office as a non-official member under sub-section (1).
(3) The Vice-Chairman or non-official member may at any time, by writing under
his hand, address ed to the State Government, re sign his office, and on such
resignation being accepted, he shall be deemed to have vacated his office.
(4) A casual vacancy in the office of Vice -Chairman or a non official member
shall be filled by fresh appointment by the State Government, and the Vice -
Chairman or other member so appointed shall hold office for th e remainder
of the term of the Vice-Chairman or member in whose place he is appointed.
Appointment
of administrator
in certain cases
6-B Where the term of office or the extended term of office of all non -official
members expires or is determined earlier, and no new non -official members
me appointed in their place, then until the appointment of new non -official
members--
(a) all functi ons and duties of the Board, it Chairman, Vice-Chairman
and committees shall be vested in and be per formed and discharged, subject
to the control of State Government, by an officer of appointed in that behalf
by the State Government (hereinafter referred to as the Administrator), and
the Administrator shall be deemed in law to be the Board, the Chairman, the
Vice-Chairman or the committee, as the occasion may require ;
(b) such salary and allowance, if any, of the Administrator as the State
Government may, by general or special order in that behalf, fix shall be paid
out of the fund of the Board ;
(c) the State Government may constitute a committee or other body to
advise the Administrator or to perform such of the functions and duties of the
Board as it may specify in that behalf.]2
Meetings of
the Board
7. (1) The Board shall meet at such time and places and shall, subject to the
provisions of sub -sections (2) and, (3), observe such Procedure in regard to
the transaction of business at its meetings (including the quorum at meetings)
as may be provided by regulations made under this Act.
[(2) The Chairma n, or in his absence, the Vice -Chairman or i n the absence of
both, such other person as may be chosen by the me mbers present from
amongst themselves, shall preside at the meetings of the Board.]1
1. Substituted by section 5(a) of U.P. Act No. 24 of 1966.
2. Substituted by section 3 of U.P. Act No. 14 of 1975.
14
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 8-11]
(3) All question at a meeting of the Board shall be decided by a majority of votes
of the members present and voting and in the case of equality o f votes, [ the
person presiding]1 shall have a second or casting vote.
[(4) The Chairman may invite any person to attend a meeting of the Board for the
purpose of advising or assisting the Board or any matter. The person so
invited may take part in the discussions of the Board but shall have no right
of vote.]2
Vacancies
amongst
members or
defects in the
constitution of
the Board not
to in validate
acts or
proceedings of
the Board
8. No act or Proceeding of the Board shall be deemed to be invalid by rea son
merely of any vacancy in, or any defect in the constitution of the Board.
[Office of the
Board
9. The office of the Board shall be located at a place to be notified by the State
Government in the official Gazette and shall, until so notified cont inue to be
located at Kanpur.]3
[Officers and
employers of
the Board
10. (1) The State Government shall, on such terms and c onditions as it may by
general or special order specify in this behalf, appoint such person, including
a Government servant, as it deems fit, as --
(a) Chief Executive Officer;
[(aa) Additional Chief Executive Officer;]5
(b) a Financial Advisor; and
(c) an Accounts Officer.
(2) The Accounts Officer shall be appointed in consultation with the Board.
(3) The Board may, in acc ordance with the regulations made in this behalf,
appoint such other officers and employees as it thinks fit.]4
[Powers and
duties of the
Chief Executive
Officer
,Financial
Adviser and the
Accounts
Officer
11. (1) The Chief Executive Officer shall exercise the following powers and perform
the following duties; namely :-
(a) to control all administrative work;
(b) to implement the policies and programmes of the Board;
1. Substituted by section 5(b) of U.P. Act No. 24 of 1966.
2. Sub-section (4) added by section 3 (c) ibid.
3. Substituted by section 6 ibid.
4. Substituted by section 4 of U.P. Act No. 11 of 1983.
5. Added by section 4 of U.P. Act No. 15 of 1993.
15
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 12-14]
(c) to call meetings of the Board in consultation with the Chairman, to
prepare minutes thereof and to cause decisions taken therein to be
implemented;
(d) to make entries in the character rolls of the subordinate officers and
employees of the Board;
(e) to execute contracts and assurance of property on behalf of the
Board;
(f) to cause to be prepared reports, returns and other information’s
required by the Act and the rules or asked for by the State Government and
the Khadi and Village Industries Commission;
(g) to operate the Bank accounts of the Board;
(h) to cause annual reports under sub -section (2) of section 29 to be
prepared and submitted to the Board;
(i) to exercise such other powers and perform such other duties as may
be prescribed.
(2) The Financia l Advisor and the Accounts Officer shall have such powers and
perform such duties as may be prescribed.]4
Terms and
conditions of
service of
employees of
the Board and
terms of office
of its members
12. (1) The terms and conditions of service of the [ officers and employees of the
Board appointed under [sub -section (3 )]5 of section 10,] 1 shall be such as
may be provided by regulations made in this behalf.
[(2) The Vice -Chairman shall be paid remuneration, and other non -official
members shall be entitled to traveling and daily allowance, from the Board in
accordance with such general or special orders as the State Government may,
from time to time, issue in that behalf.]2
[Authentication
of instruments
or orders of
the Board
13. Every contract and ass urance of property on behalf of the Board shall be in
writing and executed by the Chief Executive Officer in such manner as may
be prescribed and every order or decision of the Board shall be authenticated
by the Vice-Chairman or the Chief Executive Office r or such other member
or officer as may be authorized by the Board in this behalf.]6
14. [X X X ]3
1. Substituted by section 9(a) ibid for (employees of the Board).
2. Substituted by section 4 of U.P. Act No. 14 of 1975.
3. Omitted by section 11 ibid.
4. Substituted by section 5 of U.P. Act No. 11 of 1983.
5. Substituted by section 6 ibid.
6. Substituted by section 7 ibid.
16
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 15-16]
CHAPTER III
FUNCTIONS OF THE BOARD
Function of
the Board
15. (1) Subject to the provisions of this Act, the functions of the Board shall
generally be to plan, organize, develop and regulate khadi and village
industries [and to implement the schemes formulate]1 by it, for that purpose.
(2) In particular and without prejudice to the generality of the foregoing power,
the Board may take such steps as it may think fit --
(a) to plan and organize the training of persons engaged or interested
in the production of khadi or in village industries ;
(b) to build up a reserve of raw materials and implements and to supply
them to persons engaged in the production of khadi or in village industries at
such economical rates as may be suitable in the, opinion of the Board;
(c) to provide for sale, publicity and mark eting of khadi and products
of village industries ;
(d) to encourage and promote research in the technique of production
of khadi and development of village industries, or to provide facilities for
study of the problems relating to khadi or village industries ;
(e) to maintain, or assist in the maintenance of, institutions for the
development of khadi or village industries ;
(f) to undertake, assist or encourage the production of khadi or the
development of village industries ;
(g) to promote and encourage co-operative for among manufacturers of
khadi and/or persons engaged in village industries ;
(h) to secure co -ordination between individuals and institu tions,
including co -operative societies, engaged in the work of khadi and village
industries ; and
(i) to carryout any other matter which may be prescribed.
Notations on
the functions
of the Board
16. (1) In the discharge of its functions under this Act, the Board shall be bound by
such directions as the State Government may give to it.
(2) The Board shall not dispose or acquire immovable property, except with the
prior approval in writing of the State Government.
1. Added by section 12 of U.P. Act No. 1975.
17
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 17-21]
CHAPTER IV
PREPARATION AND SUBMISSION OF PROGRAMMESAND SCHEMES AND
FINANCIAL STATEMENTS (BUDGET)
Formulation
and
submission of
programme
and scheme
17. It shall be the duty of the Board to formulate programme of work and
schemes for implementation i n a financial year, and submit the same to the
State Government, in such forms and containing such particulars and by such
date or dates as may be prescribed.
Supplementary
programmes
and Schemes
18. The Board may prepare supplementary programmes and schemes and submit
the same to the Government in such forms and containing such particulars, as
may be prescribed.
Sanction or
programmes
and schemes
19. The State Government may approve in whole or with such modifications as
it deems fit, the prog ramme or the schemes or the supplementary
programmes or the supplementary schemes sub mitted under section 17 or
section 18, as the case may be, and the programmes or schemes so approved,
shall be the programmes or the schemes for the year or period for wh ich the
same were made.
Implementation
of
programmes
and schemes
20. On receipt of the sanction of the State Government to the schemes or the
supplementary programmes or the supplementary schemes, as the case may
be, under section 19, the Board shall implement the same.
Annual
financial
statement
21. (1) The Board shall in respect of every financial year cause to be prepar ed a
statement of the estimated receipts and expenditure of the Board for that year
and cause it to be submitted to the State Government for its approval.
(2) The estimates of expenditure embodied in the annual financial statement shall
show separately : --
(a) allowances of the [Vice-Chairman]1 and other non official members;
(b) emoluments and allowances of [the officers and employees]2 of the
Board and other expenditure relating to the office of the Board;
(c) debt charges for which the Board is liable including interest, sinking
fund charges and redemption charges, and the expenditure relating to the
borrowing of loans and the service and redemption of debt ;
(d) any Bums required to satisfy any judgment, decree or award of any
court or tribunal;
(e) any sums required, fit implementation of programmes and schemes
of the Board; and
(f) any other expenditure, as ma y be prescribed for the pur poses of this
Act.
1. Substituted by section 13(1) of U.P. Act No. 24 of 1966.
2. Substituted by section 13(2) ibid for “the employees”.
18
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 22-25A]
Supplementary
financial
statement
22. The Board shall , where the amount authorize by the annual financial
statements to be expended for a particular service, programme or scheme for
the current financial year, approved the State Government is found to be
insufficient for the purposes of that year or when a need has arisen during the
current financial year for supplementary expenditure upon some new service,
programme or scheme not contemplated in the annu al financial statement for
the year , cause to be prep ared, another statement showing the estimated
amount of that expenditure and cause it to be Submitted to the State
Government for its approval.
Approval of
the State
Government
on annual and
supplementary
financial
statement
23. (1) The State Govern ment may approve an annual financial statement or the
supplementary financial statement, submitted under section 21 or section 22,
as the case may be, in whole or with such modifications as it deems fit.
(2) The annual financial statement or the supplem entary financial statement, so
approved by the State Government shall be the annual f inancial statement or
“the supplementary financial statement” of the Board for that year.
Powers of the
Board to spend
24. Subject to the provisions of section 25 the Board shall have power to spend
such sums as it thinks fit on purposes authorized by this Act.
Limitations on
the power of
the Board to
spend
25. (1) Subject to the provision of sub -sections (2) and (3), no sum shall be
expended by or on behalf o f the Board, except in accordance with the annual
financial statement, the supplementary financial statement, as the case may
be, approved by the State Government under section 23.
(2) The Board may, within the respective limits of the annual financial s tatement
or the supplementary financial statement, as the case may be, sanction, with
the prior approval of the State Government, any re -appropriation from one
head of expenditure to another or from provision made for one scheme to
that in respect of anoth er but in no case re appropriation shall be made from
the Khadi account to the village industries account or from the vil1ag e
industries account to the khadi account.
(3) The Board may, within such limits and subject to such condition at, may be
prescribed, incur expenditure in excess of the limit provided in the annual
financial statement or the supplementary financial statement under any head
of expenditure or in connection with any particular scheme falling under the
same head, so long as the aggregate amount specified therein in respect of
that head is no exceeded.
[Power to
write off
irrecoverable
amount
25-A The Board may write off an amount due to it up to rupees one thousand in
any individual case and up to rupees ten thousand in the aggregate in any
financial year if, in its opinion, such amount is irrecoverable.]1
1. Added by section 14 of U.P. Act No. 24 of 1966.
19
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 26-29]
CHAPTER V
FINANCE, ACCOUNTS, AUDIT AND REPORTS
[Fund of the
Board
26. (1) There shall be a Fund of the Board to which shall be credited all moneys
received by, or on behalf of the Board.
(2) All moneys belonging to the Fund of the Board shall be deposited in the
Government Treasury und er two separate personal ledger accounts to be
called respectively, the ‘Khadi Account’ and the ‘Village Industries Account’
and also in any other similar accounts to be opened by the Board as and when
necessary in respect of its different schemes.
(3) Subject to any rule so made in this behalf, the Board may from time to time
withdraw from such personal ledger accounts, such amount as may be
required for its purposes and may, if it thinks fit so to do, credit any such
amount in account with any Scheduled Bank.]1
Acceptance of
gifts, subven-
tions, etc. by
Board
27. The Board may, with the prior approval of the State Gov ernment, accept
grants, subventions, donations and gifts.
Subventions
and loans to
Board
28. (1) The State Government may, from t ime to time, make subventions and grants
to the Board for the purpose of this Act, on such terms and conditions as the
State Government may impose in this behalf.
(2) Subject to the provision or this Act and the rules made thereunder and such
conditions as the State Government may impose in this behalf, the Board
may, from time to time and with the previous sanction of the State
Government, borrow on the security of the Khadi Account or the Village
Industries Account or any other asse t of the Board or ot herwise all sum
required for giving effect to the purposes of this Act.
Return and
reporter
29. (1) The Board shall furnish to the State Government at such time and in such
form and manner is may be prescribed or as the State Government may
direct, su ch returns and statements and such particulars in regard to any
proposed or existing programme or scheme for the promotion and
development of Khadi and Village Industries as the State Government may,
from time to time, require.
(2) Without prejudice to the provisions of sub-section (1) the Board shall, as soon
as possible after the end of each financial year, submit t o the State
Government a report , in such form and by such date as may be prescribed,
giving a true and full account of its activities, polic ies and programmes
during the previous financial year.
(3) A copy of the report received under sub -section (2) shall be laid before each
House of the State Legislature.
1. Substituted by section 8 of U.P. Act No. 11 of 1983.
20
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 30-31]
Account and
audit
30. (1) The Board shall cause to be maintained such books of accounts and other
records in relation to its functions in such form and in su ch manner, as may
be prescribed.
(2) The Board shall, as soon as may be after the closing of its annual accounts,
prepare an annual statement of accounts in such form and in such manner as
may be prescribed.
[(3) The accounts of the Board shall be audited by the Accountant General, Uttar
Pradesh, or any officer authorized by him in this behalf.]1
(4) The annual statement of accounts of the Board together with the audit report
thereon shall be submitted by the Board to the State Government for such
action as it may think proper to be taken.
(5) A copy of the annual statement of accounts of the Board together with the
audit report thereon received under sub -section (4) shall be laid before each
House of the State Legislature.
CHAPTER VI
MISCELLANEOUS
[Committees
of the Board
31. (1) For the purpose of exercising such powers and performing su ch duties o r
discharging such functions as may be prescribed the Board shall establish :-
(a) a Selection Committee;
(b) a Finance Committee.
(2) The selection committee shall consist of the following members :--
(a) Chief Executive Officer, who shall be the chairman;
(b) The Director of Industries, Uttar Pradesh, or his nominee not bel ow
the rank of a Joint Director;
(c) A representative of the State Directorate of the Khadi and Village
Industries Commission;
(d) Concerned Project Officer who shall be the Technical Advisor.
(3) The Finance Committee shall consist of the following members :- -
(a) Chairman of the Board, (Chairman);
(b) Two non -official members of the Board to be nomina ted by the
Chairman;
(c) Secretary to the State Government in the Industries Department or his
nominee not below the rank of a Deputy Secretary;
(d) Secretary to the State Government in the Finance Department or his
nominee not below the rank of a Deputy Secretary;
1. Substituted by section 15 of U.P. Act No. 24 of 1966.
21
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 31A-32]
(e) Chief Executive Officer;
(f) Financial Advisor;
(g) Accounts Officer, who shall be the Member Secretary.
(4) The term of office of the non -official members of the Committees of the
Board shall be such as may be prescribed.
(5) The members of the Committees of the Board shall draw trave lling and daily
allowances in accordance with such general or special orders as the State
Government may issue in this behalf.
(6) Without prejudice to the generality of the provisions of sub -section (1), the
Finance Committee shall perform the following functions and duties,
namely-
(a) to co nsider the demands for loans/grants awl to take decision for
sanction on the basis of the available budget;
(b) to prepare budget estimates;
(c) to scrutinize the financial progress, realization, certificate of
utilization, etc.
(7) Upon the constitution of the Committees referred to in sub -section (1) every
committee or sub -committee constituted under this Act, prior to the
commencement of the Uttar Pradesh Khadi and Village Industries Board
(Amendment) Act, 1982, shall cease to exist.
Delegation of
powers and
functions
31-A The Board may, by general or special order, delegate either unconditionally
or subject to such conditions including the condition or review by itself as
may be specified in the order to the Vice -Chairman, Chief Executive Officer
or any other Officer, such of its powers and functions under the Act as it
thinks fit.]1
[Advisory
Committee
31-B (1) The State Government may, by notification in the Gazette, constitute an
Advisory Committee to advise the Board on matter s referred to it by the
Board on matters referred to it by the board.
(2) The Advisory Committee shal1 consist of one representative from each
Commissioner's Division in the State having interest in the field of Khadi and
Village Industries.]2
Dissolution of
the Board
[32
.
(1) If the State Government is of opinion that Board has failed to carry out the
functions under this Act, or that for any other reason it is not necessary to
continue the Board, it may, by notification in the Gazette, dissolve the Board
from such date as may be specified in the notification.
(2) Upon the publication of a notification under sub -section (1) dissolving the
Board--
1. Substituted by section 9 of U.P. Act No. 11 of 1983.
2. Substituted by section 10 ibid.
22
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 33-35A]
(a) the Chairman, the Vice -Chairman and all members of the Board
shall, as from the date of dissolution, vacate their offices ;
(b) all the powers and functions which may by or under this A ct be
exercised and performed by or on behalf of the Board shall, as from the date
of dissolution, be exercised and performed, subject to the control of the State
Government by such s ingle person or institution as it may specify in that
behalf and all subs isting contracts, agreements and other instruments to
which the Board is a party or which are in favour of the Board may be
enforced or acted upon, and all pending suits, appeals and other legal
proceedings by or against the Board may be continued, prosecu ted or
enforced, by or against the State Government or such person or institution, as
the case may be;
(c) the Fund of and other prope rties vested in the Board shall vest in
the State Government; and
(d) all liabilities, legally subsisting and enforceabl e against the Board,
shall be enforceable against the State Government [* ** ]4.
(3) Notwithstanding anything contained in sub -section (1) or sub section (2), the
State Government may, at any time, again establish a Board under section 4,
thereupon --
(a) the powers and functions as well as the rights and liabilities in
relation to contracts, agreements and other instruments and suits, appe als and
other legal proceedings referred to in clause (b) of sub -section (2) shall re -
vest in the Board ;
(b) the fund and other properties referred to in clause (c) of sub-section
(2) re maining w ith the State Government after meeting any liabilities
referred to in clause (d) thereof shall re-vest in Board.]1
33. [* * * ]2
Members and
Employees of
the Board t o
be Public
servants
34. All members and employees of the Board shall be deemed when acting or
purporting to act in pursuance of any of the provi sions of this Act, to be
public servants within the meaning of section 21 of the Indian Penal Code,
1860.
Protection of
action taken
under this Act
35. No suit, prosecution or other legal proceedings shall lie against any person
for anything which is in good faith done or purported to be done under this
Act.
[Recovery of
certain dues as
arrears of Land
revenue
35-A Where any amount is recoverable by the Board on account of any loan or
advance or grant made by it for the purpose of development of Khadi and
village Industries, the same may be without prejudice to any other remedy
provided by law be recovered as arrears of land revenue.]3
1. Substituted by section 8 of U.P. Act No. 14 of 1975.
2. Omitted by section 9 ibid.
3. Added by section 17 of U.P. Act No. 24 of 1966.
4. Omitted by section 2 of U.P Act no. 39 of 1976
23
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 36-37]
Power to make
rules
36. (1) The State Government may, after previous publication and by notification in
the official Gazette, make rules for, carrying out the purposes of this Act.
(2) In particular and without prejudice to the generality of the foregoing powers,
such rules may provide for all or any of the following matters; namely --
(a) [* * * ]1
(b) [* * *]1
[(c) the powers an d duties of the Financial Advisor and Accounts
Officer;]2
(d) the matters concerning the functions of the Board;
(e) expenditures to be embodied in the annual financial statement ;
(f) the matters concerning the programmes, and schemes of the Board;
(g) the matters concerning the annual financial statement and the
supplementary financial statement of the Board;
[(h) the submission of annual report under section 29;]3
(i) the form and manner in which accounts and other records in relation
to the functions of the Board shall be maintained under sub -section (1) of
section 30 ;
(j) the preparation and sub -mission of the annual statement of a ccounts
under sub-section (2) of section 30;
(k) the procedure to be, followed in removing a member under section 6;
(l) the procedure to be followed and the conditions to be observed i n
borrowing moneys under section 28;
(m) the conditions subject to which and the mode in which contracts may
be entered into by or on behalf of the Board; and
(n) any other matter which has to be or may be prescribed.
(3) All rules made u nder this Act sh all, as soon as , may he after they are made,
be laid before each House of the State Legis lature while it is in session, for a
total period of fourteen days extending in its one session or more than one
successive sessions and shall, unless some later date is appointed, take effect,
from date of heir publication in the official Gazette, subject to such
modifications or annulment as the two houses of the Legislatur e may agree
to make so, however, that any such modification or annulment, shall be
without prejudice to the validity of anything previously done there under.
Power to make
regulation
37. (1) The B oard may, with the previous sanction of the Sta te Government, make
regulations consistent with this Act, and the rules made thereunder and notify
them in the official Gazette.
(2) In particular and without prejudice the generality of the foregoing power, the
Board may make regulations providing for --
1. Clauses (a) and (b) omitted by section 18(i) of U.P. Act No. 24 of 1966.
2. Substituted by section 11(1) of U.P. Act No. 11 of 1983.
3. Substituted by section 11(2) ibid.
24
[The Uttar Pradesh Khadi and Village Industries Board Act, 1960] [Section 38-Schedule]
(a) the procedure in regard to the transaction of business of the Board or
of its Committees ;
[(b) the appointment and conditions of service of the persons referred to
in sub-section (3) of section 10;]1
(c) the matters relating to functions and duties of the em ployees of the
Board ;
(d) [* * * ]2
(e) [* * * ]2
(f) any other matter which has to b e or may be provided for by
regulations.
Saving
38. (1) Nothing in this Act shall apply or be deemed to apply to any industry, the
control of which by the Union is declared by Parliament by law to be
expedient in the public interest.
(2) The provision of this Act shall be in addition to, and not in derogation of, the
provisions of any other law for the time being in force relating to Khadi and
Village Industries.
SCHEDULE
[See sections 2 (viii) and 3 (1)]
1. Bee-Keeping.
2. Cottage match industry.
3. Cottage pottery industry.
4. Cottage soap industry.
5. Flaying, curing and tanning of hides and skins and ancillary industries connected with
the same and cottage leather industry.
6. Ghani oil Industry.
7. Hand made paper.
8. Manufacture of cane-gur and Khandsari.
9. Palm-gur making and other palm-products industries.
10. Processing of cereals and pulses.
11. Fibre other than coir.
12. Blacksmithy and carpentry (manufacturing and servicing not involving the use of
power; power may be used in the case of manufacture of Ambar Charkhas and their
accessories).
1. Substituted by section 12(a) of U.P. Act No. 11 of 1983.
2. Substituted by section 12(b) ibid.