CHAPTER IPRELIMINARY
1.Short title, extent and commencement. (1) This Act may be called the Forward Contracts (Regulation Act, 1952.(2) It extends to the whole of India 2*
(3) Chapter I shall come into force at once, and the remaining provisions shall come into force on such date, or dates as the
Central Government may, by notification in the Official Gazette, appoint, and different dates may be appointed for different provisions of this Act, for different States or areas, and for different goods or classes of goods.
2.Definitions.
2.Definitions. In this Act, unless the context otherwise requires,-
(a) “association” means any body of individuals, whether incorporated or not, constituted for the purpose of
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1This Act has been extended to Pondicherry (with modifications),vide
Notification No. S.O.3865,Dated the 29th December,1962, See Gazette of
India. Part II,Sec 3(ii),P.4206.This Act has been extended to and brought into force in Dadra and
Nagar Haveli (w.e.f. 1-7-1965) by Regulation 6 of 1963, s. 2 and Sch.
I.
This Act has been extended to Goa, Daman and Diu (with modifications), vide Notification No. G.S.R. 962, dated the 24th June,
1967. See Gazette of India, Part II, Sec. 3(i), p. 1073.2The words “except the State of Jammu and Kashmir” omitted by Act 62.of 1960, s. 2.3 Chapters II to VI were brought into force-
(i) in the whole of India except the State of Jammu and
Kashmir on the 24th August, 1953, vide Notification No.
S.R.O. 1618, dated the 24th August, 1953. See Gazette of
India, Extraordinary, Part II, Sec. 3, p. 2801 ;
(ii) in the State of Jammu and Kashmir on the 22nd.
September, 1962, vide Notification No. S.O. 2895, dated the
15th September, 1962. See Gazette of India, Pt. II, Sec.
3(ii), P. 3036.
106.
regulating and controlling the business of the sale or purchase of any goods ;
(b) “Commission ” means the Forward Markets Commission established under section 3 ;
(e) “forward contract ” means a contract for the delivery of goods * * * and which is not a ready delivery contract;
(d) “goods ” means every kind of movable property other than actionable claims, money and securities;
(e) “Government security ” means a Government security as defined in the Public Debt Act, 1944; (18 of 1944.)
(f) “non-transferable specific delivery contract ” means a specific delivery contract, the rights or liabilities under which or under any delivery order, railway receipt,bill of lading, warehouse receipt or any other document of title relating thereto are not transferable ;
(g) ” option in goods ” means an agreement, by whatever name called, for the purchase or sale of a right to buy or sell, or a right to buy and sell, goods in future, and includes a teji, a mandi, a teji-mandi, a galli, a put, a call or a put and call in goods ;
(h) “prescribed ” means prescribed by rules made under this
Act ;
(i) “ready delivery contract ” means a contract which provides for the delivery of goods and the payment of a price therefor, either immediately or within such period not exceeding eleven days after the date of the contract and subject to such conditions as the Central Government may, by notification in the Official Gazette, specify in respect of any goods, the period under such contract not being capable of extension by the mutual consent of the parties thereto or otherwise:
2 [Provided that where any such contract is performed either wholly or in part,-
(1) by tendering of the documents of title to the goods covered by the contract by any party thereto (not being
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1The words “at a future date” omitted by Act 53 of 1971, s. 2.(w.e.f. 11-10-1971).
2 Added by s. 2, ibid. (w.e.f. 11-10-1971).
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a commission agent or a bank) who, has acquired ownership of the said documents by purchase, exchange or otherwise, to any other person (including a commission agent but not including a bank); or
(2) by the realisation of any sum of money, being the difference between the contract rate and the settlement rate or clearing rate or the rate of any offsetting contract ; or
(3) by any other means whatsoever, and as a result of which the actual tendering of the goods covered by the contract or the payment of the full price therefor if, dispensed with, then, such contract shall not be deemed to be a ready delivery contract.
Explanation.-For the purposes of this clause,-
(i) ” bank ” includes any banking company as defined in the
Banking Regulation Act, 1949, (10 of 1949.) a co-operative bank as defined in the Reserve Bank of India Act, 1934, (2 of
1934.) the State Bank of India and any of its subsidiaries and any corresponding new bank constituted under section 3 of the Banking Companies (Acquisition and Transfer of
Undertakings) Act, 1970; (5 of 1970.)
(ii) ” Commission agent ” means a person who, in the ordinary course of business, makes contract for the sale or purchase of goods for others for a remuneration (whether known as commission or otherwise) which is determined in the contract itself or determinable from the terms of the contract, in either case, only with reference to the quantity of goods or to the, price therefor as stipulated in the contract ;]
1[(j) “recognised association ” means an association to which recognition for the time being has been granted by the
Central Government under section 6 in respect of goods or classes of goods specified in such recognition .
(jj) “registered association ” means an association to which for the time being a certificate of registration has been granted by the Commission under section 14B;]
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1 Subs, by Act 62 of 1960, s. 3, for cl. (i).
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(k) “rules”, with reference to the rule-, relating in general to the constitution and management of an association, includes in the case of an incorporated association its memorandum and articles of association;
(l) “securities” includes shares, scrips, stocks, bonds, debentures, debenture-.stocks, or other marketable securities of a like nature in or of any incorporated company or other body corporate and also Government securities;
107.
(m) “Specific delivery contract” means a forward contract which provides for the actual delivery of specific qualities or types of goods during a specified future period at a price fixed thereby or to be fixed in the manner thereby agreed and in which the names of both the buyer and the seller are mentioned ;
(n) “transferable specific delivery contract ” means a specific delivery contract which is not a non-transferable specific delivery contract 1[and which is subject to such conditions relating to its transferability as the Central
Government may, by notification in the Official Gazette, specify in this behalf].
CHAPTER IITHE FORWARD MARKETS COMMISSION
3.Establishment and constitution of the Forward Markets
Commission. (1) The Central Government may, by notification in the
Official Gazette, establish a Commission to be called the Forward
Markets Commission for the purpose of exercising such functions and discharging such duties as may be assigned to the Commission by or under this Act.
(2) The Commission shall consist of not less than two, 2[but not exceeding four], members appointed,-by the Central Government 3[one of them being nominated by the Central Government to be the Chairman thereof ; and the Chairman and the other member or members shall be either whole-time or part-time as the Central Government may direct]:
4[Provided that the members to be so appointed shall be persons of ability, integrity and standing who have shown capacity in deal in with problems, relating to commerce or commodity markets, or in administration or who have special knowledge or practical experience in any matter which renders them suitable for appointment on the
Commission.]
(3) No person shall be qualified for appointment as, or for con-
tinuing to be, a member of the Commission if he has, directly or
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1 Ins. by Act 62 of 1960, s. 3.2 Subs. by S. 4, ibid., for ” but not exceeding three
3 Subs. by Act 46 of 1953, S. 2, for certain original words.
4 Subs. by Act 62 of 1960, S. 4, for the proviso.
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108.indirectly, any such financial or other interest as is likely to affect prejudicially his functions as a member of the Commission, and every member shall, whenever required by the Central Government so to do, furnish to it such information as it may require for the purpose of securing compliance with the provisions of this sub-section.
(4) No member of the Commission shall hold office for a period of more than three years from the date of his appointment, and a member relinquishing his office on the expiry of his term shall be eligible for reappointment.
(5) The other terms and conditions of service of members of the
Commission shall be such as may be prescribed.
4.Functions of the Commission.
4.Functions of the Commission. The functions of the
Commission shall be-
(a) to advise the Central Government in respect of the recognition of, or the withdrawal of recognition from, any association or in respect of any other matter arising out of the administration of this Act ;
1[(b) to keep forward markets under observation and to take such action in relation to them as it may consider necessary, in exercise of the powers assigned to it by or under this Act ;]
(c) to collect and whenever the Commission thinks it necessary publish information regarding the trading conditions in respect of goods to which any of the provisions of this Act is made applicable, including information regarding supply, demand and prices, and to submit to the Central Government periodical reports on the operation of this Act and on the working of forward markets relating to such goods;
(d) to make recommendations generally with a view to improving the Organisation and working of forward markets ;
(e) to undertake the inspection of the accounts and other documents of 2[any recognised association or registered association or any member of such associations whenever it considers it necessary ; and
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1 Subs. by Act 62 of 1960, s. 5, for cl. (b).
2 Subs. by S. 5, ibid., for “any recognised association”.
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109.(f) to perform such other duties and exercise such other powers as may be assigned to the Commission by or under this
Act, or as may be prescribed.
1[4A.Powers of the Commission. (1) The Commission shall, in the performance of its functions, have all the powers of a civil court, under the Code of Civil Procedure, 1908, (5 of 1908.) while trying a suit in respect of the following matters, namely :
(a) summoning and enforcing the attendance of any personand examining him on oath;
(b) requiring the discovery and production of any document;
;
(c) receiving evidence on affidavits;
(d) requisitioning any public record or copy thereof from any office ;
(e) any other matter which may be prescribed.
(2) The Commission shall have the power to require any person, subject to any privilege which may be claimed by that person under any law for the time being in force, to furnish information on such points or matters as, in the opinion of the Commission, may be useful for, or relevant to, any matter under the consideration of the Commission and any person so required shall be deemed to legally bound to furnish such information within the meaning of section 176 of the Indian Penal
Code. (45 of 1860.)
(3) The Commission shall be deemed to be a civil court and when any offence described in section 175, section 178, section 179, section 180 or section 228 of the Indian Penal Code is committed in the view or presence of the Commission, the Commission may, after recording the facts constituting the offence and the statement of the accused as provided for in the Code of Criminal Procedure, 1898, (5 of
1898.) forward the case to a magistrate having jurisdiction to try the same and the magistrate to whom any such case is forwarded shall proceed to hear the complaint against the accused as if the case had been forwarded to him under section 482 of the said Code. (45 of
1860.)
(4) Any proceeding before the Commission shall be deemed to be a judicial proceeding within the meaning of sections 193 and 228 of the
Indian Penal Code. (45 of 1860.)
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1 Ins. by Act 62 of 1960, S. 6.———————————————————————
110.Explanation.-For the purposes of enforcing the attendance of witnesses, the local limits of the Commissions jurisdiction shall be the limits of the territory of India.]
CHAPTER IVFORWARD CONTRACTS AND OPTIONS IN GOODS
15.Forward contracts in notified goods illegal or void in certain circumstances. (1) The Central Government may, by notification in the
Official Gazette, declare this section to apply to such goods or class of
122.goods and in such areas as may be specified in the notification, and thereupon, subject to the provisions contained in section 18, every forward contract for the sale or purchase of any goods specified in the notification which is entered into in the area specified therein otherwise than between members of a recognised association or through or with any such member shall be illegal,
(2) Any forward contract in goods entered into in pursuance of sub-section (1) which is in contravention of any of the bye-laws specified in this behalf under clause (a) of sub-section (3) of section 11 shall be void-
(i) as respects the rights of any member of the recognised association who has entered into contract in contravention of any such bye-law, and also
(ii) as respects the rights of any other person who has knowingly participated in the transaction entailing such contravention.
(3) Nothing in sub-section (2) shall affect the right of any person other than a member of the recognised association to enforce any such contract or to recover any sum under or, in respect of such contract:
Provided that such person had no knowledge that such transaction was in contravention of any of the bye-laws specified under clause (a)
of sub-section (3) of section 11,
1[(3A) Any forward contract in goods entered into in pursuance of sub-section (1) which at the date of the contract is in contravention of any of the bye-laws specified in this behalf under clause (aa) of sub-section (3) of section 11 shall be illegal.]
(4) No member of a recognised association shall, in respect of any goods specified in the notification under sub-section (1), enter into any contract on his own account with any person other than a member of the recognised association, unless he has secured the consent or authority of such person and discloses in the note, memo-
randum or agreement of sale or purchase that he has bought or sold the goods, as the case may be, on his own account:
Provided that where the member has secured the consent or authority of such person otherwise than in writing he shall secure a written confirmation by such person of such consent or authority within three days from the date of such contract:
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1 Ins. by Act 62 of 1960, s. 15.———————————————————————
123.Provided further that in respect of any outstanding contract entered into by a member with a person other than a member of the recognised association, no consent or authority of such person shall be necessary for closing out in accordance with the bye-laws the out-
standing contract, if the member discloses in the note, memorandum or agreement of sale or purchase in respect of such closing out that he has bought or sold the goods, as the case may be, on his own account.
16.Consequences of notification under section 15.16. Consequences of notification under section 15 Where a notification has been issued under section 15, then notwithstanding anything contained in any other law for the time being in force or in any custom, usage or practice of the trade or the terms of any contract or the bye-laws of any association concerned relating to any contract,-
(a) every forward contract for the sale or purchase of any goods specified in the notification.. 1[entered into on or before the date of the notification] and remaining to be performed after the said date and which is not in conformity with the provisions of section 15, shall be deemed to be closed out at such rate as the Central Government may fix in this behalf, and different rates may be fixed for different classes of such contracts ;
(b) all differences arising out of any contract so deemed to be closed out shall be payable on the basis of the rate fixed under clause (a) and the seller shall not be bound to give and the buyer shall not be bound to take delivery of the goods.
17.Power to prohibit forward contracts in certain cases.
17.Power to prohibit forward contracts in certain cases. (1) The
Central Government may, by notification in the Official Gazette, declare that no person shall, save with the permission of the Central
Government, enter into any forward contract for the sale or purchase of any goods or class of goods specified in the notification and to which the provisions of section 15 have not been made applicable., except to the extent and in the manner, if any, as may be specified in the notification.
(2) All forward contracts in contravention of the provisions of sub-section (1) entered into after the date of publication of the notification thereunder shall be illegal.
(3) Where a notification has been issued under sub-section the provisions of section 16 shall, in the absence of anything to the
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1 Subs. by Act 62 of 1960, s. 16, for “entered into before the date of the notification “.
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124.contrary in the notification, apply to all forward contracts for the sale or purchase of any goods specified in the notification 1[entered into on or before the date of the notification] and remaining to be performed after the said date as they apply to all forward contracts for the sale or purchase of any goods specified in the notification under section 15.18.Special provisions respecting certain kinds of forward contracts.
18.Special provisions respecting certain kinds of forward contracts. (1) Nothing contained in Chapter III or Chapter IV shall apply to non-transferable specific delivery contracts for the sale or purchase of any goods:
Provided that no person shall organise or assist in organising or be a member of any association in any area to which the provisions of section 15 have been made applicable (other than a recognised association) which provides facilities for the performance of any non-
transferable specific delivery contract by any party thereto without having to make or to receive actual delivery to or from the other party to the contract or to or from any other party named in the contract.
(2) Where in respect of any area the provisions of section 15.have been made applicable in relation to forward contracts for the.
sale or purchase of any goods or class of goods, the Central
Government may, by a like notification, declare that in the said area or any part thereof as may be specified in the notification all or any of the provisions of Chapter III or Chapter IV shall not apply to transferable specific delivery contracts for the sale or purchase of the said goods or class of goods either generally, or to any class of such contracts in particular.
(3) Notwithstanding anything contained in sub-section (1), if the Central Government is of opinion that in the interest of the trade or in the public interest it is expedient to regulate and control non-
transferable specific delivery contracts in any area, it may, by noti-
fication in the Official Gazette, declare that all or any of the pro-
visions of Chapters III and IV shall apply to such class or classes of non-transferable specific delivery contracts in such area and in respect of such goods or class of goods as may be specified in the notification, and may also specify the manner in which and the extent to which all or any of the said provisions shall so apply.
19.Prohibition of options in goods.
19.Prohibition of options in goods.(1) Notwithstanding anything contained in this Act or in any other law for the time being in force, all options in goods entered
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1 Subs. by Act 62 of 1960, s. 16, for “entered into before the date of the notification “.
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into after the date on which this section comes into force shall be illegal.
(2) Any option in goods which has been entered into before the date on which this section comes into force and which remains to be performed, whether wholly or in part, after the said date shall, to that extent, become void.
CHAPTER VPENALTIES AND PROCEDURE
[20.Penalties. Any person who-
(a) (i) in any return, statement or other document required by or under this Act, makes a statement which is false in any material particular, knowing it to be false, or wilfully omits to make a material statement ;
or
(ii) without reasonable excuse (the burden of proving which shall be on him) fails to furnish any return, statement or other document or any information or to answer any question or to comply with any requisition made under this Act or any rules made thereunder; or
(iii) enters into any forward contract during the period of suspension of business of a recognised association in pursuance of a notification under section 14 ; or
(b)is a member of any association, other than a recognised association, to which a certificate of registration has not been granted under this Act ; or
(c)publishes or circulates information relating to the rate at which any forward contract has been entered into in contravention of any of the bye-laws of a recognised association ; or
(d) organises, or assists in organising, or is a member of, any association in contravention of the provisions contained in the proviso to sub-section (1)
of section 18; or
(e) enters into any forward contract or any option in goods in contravention of any of the provisions contained in subsection (1) or sub-section (3A) or sub-
section (4) of section 15, section 17 or section 19,
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1 Subs. by Act 62 of 1960, s. 17, for s. 20.———————————————————————-
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shall, on conviction, be punishable-
(i) for a first offence, with imprisonment which may extend to one year, or with a fine of not less than one thousand rupees, or with both ;
(ii) for a second or subsequent offence under clause (d), cr under clause (e) [other than an offence in respect of a contravention of the provisions of sub-section (4) of section
15], with imprisonment which may extend to one year and also with fine: provided that in the absence of special and adequate reasons to the contrary to be mentioned in the judgment of the court, the imprisonment shall be not less than one month and the fine shall be not less than one thousand rupees.]
21.Penalty for owing or keeping place used for entering into forwardcontracts in goods.
21.Penalty for owing or keeping place used for entering into forward contracts in goods. Any person who-
(a) owns or keeps a place other than that. of a recognised association, which is used for the purpose of entering into or making or performing, whether wholly or in part, any forward contracts in contravention of any of the provisions of this Act and knowingly permits such place to be used for such purposes, or
(b) without the permission of the Central Government, organises, or assists in organising, or becomes a member of, any association, other than a recognised association, for the purpose of assisting in, entering into or making or performing, whether wholly or in part, any forward contracts in contravention of any of the provisions of this Act, or
(c) manages, controls or assists in keeping any place other than that of a recognised association, which is used for the purpose of entering into or making or performing, whether wholly or in part, any forward contracts in contravention of any of the provisions of this Act or at which such forward contracts are recorded or adjusted, or rights or liabilities arising out of such forward contracts are adjusted, regulated or enforced in any manner whatsoever, or
(d) not being a member of a recognised association, wilfully represents to, or induces, any person to believe that he is a member of a recognised association or that forward contracts can be entered into or made or performed, whether wholly or in part, under this Act through him, or
124c
(e) not being a member of a recognised association or his agent authorised as such under the rules or bye-laws of such association, canvasses, advertises or touts in any manner, either for himself or on behalf of any other person, for any business connected with forward contracts in contravention of any of the provisions of this Act, or
(f)joins, gathers, or assists in gathering at any place, other than the place of business specified in the bye-
laws of a recognised association, any person or persons for making bids or offers or for entering into or making or performing, whether wholly or in part, any forward contracts in contravention of any of the provisions of this Act, or
(g)makes, publishes or circulates any statement or information which is false and which he either knows or believes to be false, affecting or tending to affect the course of business in forward contracts in respect of goods to which the provisions of section 15 have been made applicable, 1[or]
1[(h) manipulates or attempts to manipulate prices in respect of forward contracts for the sale or purchase of any goods specified in any notification under section
15, in any area specified in that notification,]
2[shall, on conviction, be punishable-
(i)for a first offence, with imprisonment which may extend to two years, or with a fine of not less than one thousand rupees, or with both ;
(ii) for a second or subsequent offence, with imprisonment which may extend to two years and also with fine : provided that in the absence of special and adequate reasons to the contrary to be mentioned in the judgment of the court, the imprisonment shall be not less than one month and the fine shall be not less than one thousand rupees.]
3[21A.Power of court to order forfeiture of property. Any court trying an offence punishable under section 20 or section 21 may, if it thinks fit and in addition to any sentence which it may impose for such offence, direct that any money, goods or other property in respect of which the offence has been committed, shall be forfeited to the Central Government.
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1 Ins. by Act 62 of 1960, s. 18.2 Subs. by s. 18, ibid., for certain words.
3 Ins. by s. 19 ibid.
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Explanation.-For the purposes of this section, property in respect of which an offence has been committed, shall include deposits in a bank where the said property is converted into such deposits.]
22.Offences by companies.
22.Offences by companies.(1) Where an offence has been committed by a company, every person who, at the time the offence was committed, was in charge of, and was responsible to the company for the conduct of, the business of the company, as well as the company, shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly:
Provided that nothing contained in this sub-section shall render any such person liable to any punishment provided in this Act, if he proves that the offence was committed without his knowledge or that he exercised all due diligence to prevent the commission of such offence.
(2)Notwithstanding anything contained in sub-section (1), where an offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or is attributable to any gross negligence on the part of, any director, manager, secretary or other officer of the company, such director, manager, secretary or other officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.
Explanation.-For the purposes of this section,-
(a) “company ” means any body corporate and includes a firm or other association of individuals ; and
(b)”director”, in relation to a firm, means a partner in the firm.
1[22A.Power to search and seize books of account or other documents. (1) Any presidency magistrate or a magistrate of the first class may, by warrant, authorise any police officer not below the rank of sub-inspector to enter upon and search any place where books of account or other documents relating to forward contracts or options in goods entered into in contravention of the provisions of this Act, may be or may be reasonably suspected to be, and such police officer may seize any such book or document, if in his opinion, it relates to any such forward contract or option in goods.
(2) The provisions of the Code of Criminal Procedure, 1898, (5.of 1898.) shall, so far as may be, apply to any search or seizure made under sub-
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1 Ins. by Act 62 of 1960, s. 20,
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124E
section (1) as they apply to any search or seizure made under the authority of a warrant issued under section 98 of the said Code.
22B.Presumptions to be drawn in certain cases. (1) Where any books of account or other documents are seized from any place and there are entries therein making reference to quantity, quotations, rates, months of delivery, receipt or payment of differences or sale or purchase of goods or option in goods, such books of account or other documents shall be admitted in evidence without witnesses having to appear to prove the same ; and such entries shall be prima facie evidence of the matters, transactions and accounts purported to be therein recorded.
(2) In any trial for an offence punishable under section 21, it shall be presumed, until the contrary is proved, that the place in which the books of account or other documents referred to in sub-
section (1) were seized, was used, and that the persons found therein were present, for the purpose of committing the said offence.]
23.Certain offences to be cognizable.
23.Certain offences to be cognizable. Notwithstanding anything contained in the Code of Criminal 8. Procedure, 1898, (5 of
1898.)1[the following offences shall be deemed to be cognizable within the meaning of that Code, namely:
(a)an offence falling under sub-clause (ii) of clause
(a) of section 20 in so far as it relates to the failure to comply with any requisition made under sub-section
(3) of section 8 ;
(b) an offence falling under clause (d) of section 20;
(c)an offence falling under clause (e) of section 20.other than a contravention of the provisions of sub-
section (3A) or sub-section (4) of section 15 ;
(d) an offence falling under section 21].
24.Jurisdiction to try offences under this Act.
24.Jurisdiction to try offences under this Act.No Court inferior to that of a Presidency Magistrate or a Magistrate of the first class shall take cognizance of or try any offence punishable under this Act.
CHAPTER VIMISCELLANEOUS
25.Advisory Committee. For the purpose of advising the Central
Government in relation to any matter concerning the operation of this
Act, the Central
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1 Subs. by Act 62 of 1960, s. 21, for certain words, brackets and figures.
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Government may establish an advisory committee consisting of such number of persons as may be prescribed.
26.Power to delegate.
26.Power to delegate. The Central Government may, by notification in the Official Gazette, direct that any power exercisable by it under this Act may, in such circumstances and subject to such conditions, if any, as may be specified, be exercised by such officer or authority, including any State Government or officers or authorities thereof as may be specified in the direction.
27.Power to exempt.
27.Power to exempt. The Central Government may, by notification in the Official Gazette, exempt, subject to such conditions and in such circumstances and in such areas as may be specified in the notification, any contract or class of contracts from the operation of all or any of the provisions of this Act.
1[27A.(1)Protection of action taken in good faith. No suit or other legal proceeding shall lie in any court against the Central
Government or any member, officer or servant of the Commission for anything which is in good faith done or intended to be done under this
Act, or any rule or bye-law made thereunder.
(2) No suit or other legal proceeding shall lie in any court against the governing body or any member, office-bearer or servant of any recognised association or against any person appointed under sub-
section (1) of section 13 for anything which is in good faith done or intended to be done with the approval, or at the instance, of the Com-
mission and in pursuance of this Act, or of any rule or bye-law made thereunder.]
28.Power to make rules.
28. (1)Power to make rules. The Central Government may, by notification in the Official Gazette, make rules for the purpose of carrying into effect the objects of this Act.
(2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for-
(a) the terms and conditions of service of members of the
Commission;
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1 Ins. by Act 62 of 1960, s. 22.———————————————————————-
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(b) the manner in which applications for recognition may be made under section 5 and the levy of fees in respect thereof;
(c) the manner in which any inquiry for the purpose of recognising any association may be made and the form in which recognition shall be granted;
1[(cc) the manner in which applications for certificates of registration may be made under section 14A and the levy of fees in respect of such applications ;]
(d)the particulars to be contained in the annual reports of recognised associations ;
(e)the manner in which the bye-laws to be made, amended or revised under this Act shall, before being so made, amended or revised be published for criticism;
(f)the constitution of the advisory committee established under section 25, the terms of office of and the manner of filling vacancies among members of the committee ; the interval within which meetings of the advisory committee may be held and the procedure to be followed at such meetings ; and the matters which may be referred by the Central Government to the advisory committee for advice ;
(g) any other matter which is to be or may be prescribed.
3[“(3) Every rule made under this Act shall be laid, as soon as may be after it is made, before each House of
Parliament, while it is in session, for a total period of thirty days which may be comprised in one session or in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modification in the rule or both Houses agree that the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule
29.Repeals and savings.
2[29.Repeals and savings. If immediately before the date on which this Act or any provision contained therein is made applicable to any goods or classes of goods in any State, there is in force in that
State any law corresponding to this Act or, as the case may be, to any provision contained therein which is applicable to those goods or classes of goods, that law shall stand repealed on the said date:
Provided that the repeal shall not affect-
(a)the previous operation of any law so repealed or anything duly done or suffered thereunder; or
(b) any right, privilege, obligation or liability acquired, accrued or incurred under any law so repealed; or
(c)any penalty, forfeiture or punishment incurred in respect of any offence committed against any law so repealed; or
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1 Ins. by Act 62 of 1960, s. 23.2 Ins. by Act 46 of 1953, s. 3.3 Ins. by Act 4 of 1986, s. 2 and Sch. (w.e.f. 15.5. 1986)
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(d)any investigation, legal proceeding or remedy in respect of any such right, privilege, obligation, liability, penalty, forfeiture or punishment as aforesaid ;
and any such investigation, legal proceeding or remedy may be instituted, continued or enforced, and any such penalty, forfeiture or punishment may be imposed as if this Act had not been passed:
Provided further that, subject to the preceding proviso, anything done or any action taken (including any appointment made, notification or order issued, rule, regulation, form or bye-law framed, or recognition granted) under any such law shall be deemed to have been done or taken under the corresponding provision of this Act, and shall continue to be in force accordingly unless and until superseded by anything done or any action taken under this Act.
